slide1
Download
Skip this Video
Download Presentation
Portfolio Management

Loading in 2 Seconds...

play fullscreen
1 / 15

Portfolio Management - PowerPoint PPT Presentation


  • 94 Views
  • Uploaded on

Asset Management Group. Portfolio Management. P R E S E N T E D B Y M. Corinne Larson, CTP Vice President (914) 765-3505 [email protected] Investing in Today’s Market. Develop a Plan: Investment Policy Cash Flow Forecasting Investment Strategies.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Portfolio Management' - sherri


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
slide1
Asset Management Group

Portfolio Management

P R E S E N T E D B Y

M. Corinne Larson, CTP

Vice President

(914) 765-3505

[email protected]

investing in today s market
Investing in Today’s Market
  • Develop a Plan:
  • Investment Policy
  • Cash Flow Forecasting
  • Investment Strategies
  • Execute the Plan:
  • Investment Instruments
  • Investment Options
  • Spread Analysis
  • Reevaluate the Plan:
  • Benchmarks
  • Portfolio Performance
  • Portfolio Rebalance
importance of a benchmark
Importance of a Benchmark
  • Control risk in portfolio
  • Target expected returns
  • Establish accountability
  • Promote communication
characteristics of benchmarks
Characteristics of Benchmarks
  • Faithful to investment style and discipline it represents
  • Closely mirror the portfolio
    • Types of investments
    • Maturity limits
    • Active or passive management
  • Verifiable
    • Published
    • Easily calculated
choosing a benchmark
Choosing a Benchmark
  • Choose a security type
    • Come from appropriate industry or sector
    • Have a similar weighted average maturity or duration
  • Calculate one-month, six-month, and 12-month averages
choosing a benchmark1
Choosing a Benchmark
  • Choose an index
    • Investable
    • Measurable
    • Repeatable
    • Consistent with portfolio guidelines
common benchmarks
Common Benchmarks
  • Standard & Poor’s LGIP Index
  • Public Investor 10-bill Performance Index
  • Constant Maturity Treasury Rates
    • 3- and 6-months
    • 1-, 2- and 5-years
common benchmarks1
Common Benchmarks
  • Merrill Lynch U.S. Treasury Indices
  • Salomon U.S. Treasury Benchmark Indices
  • Lehman Brothers Government Bond Indices
  • Merrill Lynch U.S. Corporates A-AAA
where to find benchmarks
Where to Find Benchmarks
  • Wall Street Journal
  • Barron’s
  • Bloomberg
  • Internet
  • GFOA’s Public Investor newsletter
portfolio performance
Portfolio Performance
  • Compare returns
  • Evaluate risk incurred to achieve returns
  • Determine if returns meet expectations
  • Reevaluate benchmark at least annually or when investment strategy changes
portfolio rebalancing
Portfolio Rebalancing
  • Evaluate
    • Compliance issues
    • Credit risk
    • Liquidity needs
    • Diversification
    • Market conditions
    • Interest rate risk
    • Investment strategies
portfolio rebalancing1
Portfolio Rebalancing
  • Diversify
    • Market sectors or issuers
    • Rate
    • Maturity
  • Match asset allocation goals and tolerance for risk
  • Adjust WAM for market conditions
  • Swap out of underperforming securities
putting it all together
Putting It All Together
  • Establish the framework for investing
  • Understand investment alternatives
  • Develop cash flow forecasts
  • Develop investment strategies
  • Report investment results
ad