1. Identify the following, or state that it is missing in the attached JAKE Investment Report. Objectives 1. Summary of problem. 2. Objectives. 3. Constraints and issues. Asset Allocation and Funding Plan 1. Funding status. 2. Asset allocation analysis. 3. Recommendation. 4. Summary: How to meet goals, objectives, and constraints. Implementation/Mechanics1. Vehicles and selection process. 2. Timeline. 3. Management issues. 4. Ongoing communication. 5. Measuring success.

Investment Case Firm:

JAKE Investment Management, LLC. Client: Braeburn University.Background Braeburn University has an endowment of $800 million as of the end of 2017. Historically, they have been 100 percent invested in equities, with a value bias. The endowment pays out 3.5 percent each year, based upon the three-year average market value. The university has an annual budget of $500 million. Fund S&P500 Bonds 2012 14.0% 16.0% 4.2% 2013 30.5% 32.4% 2.0% 2014 11.0% 13.7% 6.0% 2015 1.8% 1.4% 0.5% 2016 14.3% 12.0% 2.6% Issues Endowments may generate income to support current financial needs. However, spending the money now leaves less for the future. Spending a fixed dollar amount leads to withdrawals that vary as a percentage of assets, and a tendency to spend a greater percentage when securities are cheaper. Spending a fixed percentage leads to a varying dollar amount, which makes it difficult to plan for program funding. Investing in low-volatility assets tends to yield low returns. Investing in highreturn assets tends to lead to volatile asset values, income, and consequently funds available for program spending.