INSTITUTION INVESTMENT TYPE Goat Point Finance High Interest Savings Savings Account Term (Fixed) Deposit Money Market...

Transcribed Image Text:

INSTITUTION INVESTMENT TYPE Goat Point Finance High Interest Savings Savings Account Term (Fixed) Deposit Money Market Castara Bank Pinneys Credit Union Big Rock Fund CASH MINIMUM DEPOSIT 10,000.00 100.00 5,000.00 Q2 (25 marks): a. 5 marks for explanation of strategy 1,000.00 INTEREST MINIMUM PERIOD 3 years RATE 7.5% 0.10% 3.5% 2. Outline your rationale for the composition of the portfolio by explaining: a. The strategy used to allocate assets; b. 2 marks for each factor (maximum 5) c. 2 marks for each advantage of asset allocation (maximum 6) 1% Questions 1. Using the information above, create a portfolio for Michelle that consists of stocks, bonds and cash. [5 marks] b. The factors that influenced your approach; c. The importance of asset allocation to Michelle's situation. [25 marks] Q3 (30 marks): 2 marks for each risk identified (maximum 5) 2 marks for explanation of the nature of the risk (maximum 10) 2 marks for the potential impact (maximum 5) N/A 1 year 3. Identify five risks that could impact the portfolio. Explain the nature of each risk (e.g. how the risk could come about) and the potential impact(s). [30 marks] Grading Guide Q1 (5 marks): 5 marks for a completed portfolio that allocates $75,000 over stocks, bonds, cash 90 days INSTITUTION INVESTMENT TYPE Goat Point Finance High Interest Savings Savings Account Term (Fixed) Deposit Money Market Castara Bank Pinneys Credit Union Big Rock Fund CASH MINIMUM DEPOSIT 10,000.00 100.00 5,000.00 Q2 (25 marks): a. 5 marks for explanation of strategy 1,000.00 INTEREST MINIMUM PERIOD 3 years RATE 7.5% 0.10% 3.5% 2. Outline your rationale for the composition of the portfolio by explaining: a. The strategy used to allocate assets; b. 2 marks for each factor (maximum 5) c. 2 marks for each advantage of asset allocation (maximum 6) 1% Questions 1. Using the information above, create a portfolio for Michelle that consists of stocks, bonds and cash. [5 marks] b. The factors that influenced your approach; c. The importance of asset allocation to Michelle's situation. [25 marks] Q3 (30 marks): 2 marks for each risk identified (maximum 5) 2 marks for explanation of the nature of the risk (maximum 10) 2 marks for the potential impact (maximum 5) N/A 1 year 3. Identify five risks that could impact the portfolio. Explain the nature of each risk (e.g. how the risk could come about) and the potential impact(s). [30 marks] Grading Guide Q1 (5 marks): 5 marks for a completed portfolio that allocates $75,000 over stocks, bonds, cash 90 days

Answer rating: 100% (QA)

Michelles Portfolio Disclaimer I am not a financial advisor and this information should not be consi... View the full answer