This document discusses the portfolio management process and policy statement. It contains the following key points: 1) The portfolio management process involves focusing on capital market conditions, constructing the portfolio according to risk levels, implementing the portfolio, and monitoring it with a feedback loop of updates. 2) A policy statement is needed to provide input to the portfolio based on the investor's goals, standards for evaluation, and other benefits. It involves constructing a statement that outlines the investment objectives, constraints, and unique needs/preferences of the investor. 3) Examining current and projected conditions involves analyzing financial, economic, political, and social factors that could impact the portfolio. The feedback loop allows monitoring the portfolio and updating it based

1. Portfolio
Management
Process
Sources of
Uncertainty

2. Portfolio

3. Portfolio Management

4. Portfolio Management Process
• Focus
• Capital
Market
Policy
statement
• Current
• Projected
Examine
Conditions • Construct
portfolio
• Risk levels
Implement
• Monitor
• Update
Feedback
Loop

5. Policy Statement
The Need
For a Policy
Statement
Input To The
Policy
Statement
Constructing
The Policy
Statement

6. The Need For a Policy Statement
Investor
Goals
Standards
For
Evaluation
Other
Benefits

7. Input To The Policy Statement
• Capital Preservations
• Capital Appreciation
• 25-yld
• 65-Year-Old
Investment
Objectives
• Liquidity needs
• Time Horizon
• Tax Concerns
• Legal and regulatory
Factors
• Unique needs
preferences
Investment
Constraints

8. Constructing The Policy Statement
General
Guidelines
• Investor and
advisor
• Set Of
question
• Satisfactory
Answers
Some Common
Mistakes
• Employer
Sponsored
Retirement
plan
• Issue of stock
Trading

9. Examine Current and Projected
Conditions
Financial
Economic
Political
Social

10. Feedback Loop
Monitor and update
Investor`s Need
Environmental conditions
Evaluate Portfolio
conditions

11. Thank You..!
M.com Batch
2013-15 UCP
Mr. Noor ur
Rahman