Portfolio Management Case

Portfolio Management Case

Introduction

This paper is formulated in order to formulate a portfolio for the respectable investor. The core intension is to make the best use of the invested amount in a manner that the investor get what he is actually intending to in the given time period. This is being done by keeping the nature and expectations both, in mind at the same time of the investor being catered.

Variables of the Client

The client for which we are about to design a portfolio is a 55 year old married person, Mr. Peter Patrick. He is an Assistant manager in a renowned pharmaceutical company MedoPharma and has some savings which is he is interested in investing in a shrewd manner to make them appreciated in safe hands. The task is given to our organization and we are going to design a portfolio for him by investing in New York stock exchange. The monthly income the individual currently has is $7250 and he is investing his savings of $0.75M. Like most of the job doing people it is seen that in the case of Mr. Peter Patrick, he is also risk averse.

This also might be due to the fact that currently he is in an age where he wants to have ample savings for his old age and he is also expecting a retirement in about eight years from now. The retirement plan Mr. Peter Patrick has opt for is 401k it is a retirement savings plan which is sponsored by the employer. This particular kind of retirement plan allows the worker to save and invest some part of their pay check before taxes are taken out. Taxes aren't paid until the money is withdrawn from the account.

Policy Statement

Mr. Peter Patrick is being the assistance in an effective manner and the amount being invested is going to be invested in a shrewd manner for him in order to generate best results out of it. This is possible only through guidance and welcoming the suggestion which are being given.

The goal which is the primary reason of designing the portfolio in this case is a expectation of a future which is well equipped with financials required in the age when human are not able to go and earn money for their expenses. Considering the time frame is really very important. The expected time frame in this case is 8 ...