AllocationDecision(投资分析与投资组合管理)

LecturePresentationSoftwaretoaccompanyInvestmentAnalysisandPortfolioManagementSeventhEditionbyFrankK.Reilly&KeithC.BrownChapter2Chapter2TheAssetAllocationDecisionQuestionstobeanswered:•Whatisassetallocation?•Whatarethefourstepsintheportfoliomanagementprocess?•Whatistheroleofassetallocationininvestmentplanning?•Whyisapolicystatementimportanttotheplanningprocess?Chapter2TheAssetAllocationDecision•Whatobjectivesandconstraintsshouldbedetailedinapolicystatement?•Howandwhydoinvestmentgoalschangeoveraperson’slifetimeandcircumstances?•Whydoassetallocationstrategiesdifferacrossnationalboundaries?FinancialPlanPreliminariesInsurance–Lifeinsurance•Termlifeinsurance-Providesdeathbenefitonly.Premiumcouldchangeeveryrenewalperiod•Universalandvariablelifeinsurance–providecashvalueplusdeathbenefitFinancialPlanPreliminariesInsurance–Healthinsurance–Disabilityinsurance–Automobileinsurance–Home/rentalinsurance–LiabilityinsuranceFinancialPlanPreliminariesCashreserve–Tomeetemergencyneeds–Includescashequivalents(liquidinvestments)–EqualtosixmonthslivingexpensesrecommendedbyexpertsIndividualInvestorLifeCycle•Accumulationphase–earlytomiddleyearsofworkingcareer•Consolidationphase–pastmidpointofcareers.Earningsgreaterthanexpenses•Spending/Giftingphase–beginsafterretirementIndividualInvestorLifeCycle253545556575NetWorthAgeAccumulationPhaseLong-term:RetirementChildren’scollegeShort-term:HouseCarConsolidationPhaseLong-term:RetirementShort-term:VacationsChildren’sCollegeSpendingPhaseGiftingPhaseLong-term:EstatePlanningShort-term:LifestyleNeedsGiftsExhibit2.1LifeCycleInvestmentGoals•Near-term,high-prioritygoals•Long-term,high-prioritygoals•Lower-prioritygoalsThePortfolioManagementProcess1.Policystatement-Focus:Investor’sshort-termandlong-termneeds,familiaritywithcapitalmarkethistory,andexpectations2.Examinecurrentandprojectfinancial,economic,political,andsocialconditions-Focus:Short-termandintermediate-termexpectedconditionstouseinconstructingaspecificportfolio3.Implementtheplanbyconstructingtheportfolio-Focus:Meettheinvestor’sneedsattheminimumrisklevels4.Feedbackloop:Monitorandupdateinvestorneeds,environmentalconditions,portfolioperformanceExhibit2.2ThePortfolioManagementProcess1.Policystatement–specifiesinvestmentgoalsandacceptablerisklevels–shouldbereviewedperiodically–guidesallinvestmentdecisionsThePortfolioManagementProcess2.Studycurrentfinancialandeconomicconditionsandforecastfuturetrends–determinestrategiestomeetgoals–requiresmonitoringandupdatingThePortfolioManagementProcess3.Constructtheportfolio–allocateavailablefundstominimizeinvestor’srisksandmeetinvestmentgoalsThePortfolioManagementProcess4.Monitorandupdate–evaluateportfolioperformance–Monitorinvestor’sneedsandmarketconditions–revisepolicystatementasneeded–modifyinvestmentstrategyaccordinglyTheNeedForAPolicyStatement•Helpsinvestorsunderstandtheirownneeds,objectives,andinvestmentconstraints•Setsstandardsforevaluatingportfolioperformance•ReducesthepossibilityofinappropriatebehavioronthepartoftheportfoliomanagerConstructingAPolicyStatementQuestionstobeanswered:•Whataretherealrisksofanadversefinancialoutcome,especiallyintheshortrun?•WhatprobableemotionalreactionswillIhavetoanadversefinancialoutcome?•HowknowledgeableamIaboutinvestmentsandthefinancialmarkets?ConstructingAPolicyStatement•WhatothercapitalorincomesourcesdoIhave?Howimportantisthisparticularportfoliotomyoverallfinancialposition?•What,ifany,legalrestrictionsmayaffectmyinvestmentneeds?•What,ifany,unanticipatedconsequencesofinterimfluctuationsinportfoliovaluemightaffectmyinvestmentpolicy?InvestmentObjectives•RiskTolerance•Absoluteorrelativepercentagereturn•GeneralgoalsInvestmentObjectivesGeneralGoals•Capitalpreservation–minimizeriskofrealloss•Capitalappreciation–Growthoftheportfolioinrealtermstomeetfutureneed•Currentincome–FocusisingeneratingincomeratherthancapitalgainsInvestmentObjectivesGeneralGoals•Totalreturn–Increaseportfoliovaluebycapitalgainsandbyreinvestingcurrentincome–MaintainmoderateriskexposureInvestmentConstraints•Liquidityneeds–Varybetweeninvestorsdependinguponage,employment,taxstatus,etc.•Timehorizon–InfluencesliquidityneedsandrisktoleranceInvestmentConstraints•Taxconcerns–Capitalgainsorlosses–taxeddifferentlyfromincome–Unrealizedcapitalgain–reflectpriceappreciationofcurrentlyheldassetsthathavenotyetbeensold–Realizedcapitalgain–whentheassethasbeensoldataprofit–Trade-offbetweentaxesanddiversification–taxconsequencesofsellingcompanystockfordiversificationpurposesInvestmentConstraints•Taxconcerns(continued)–interestonmunicipalbondsexemptfromfederalincometaxandfromstateofissue–interestonfederalsecuritiesexemptfromstateincometax–contributionstoanIRAmayqualifyasdeductiblefromtaxableincome–taxdeferralconsiderations-compoundingEquivalentTaxableYieldRateTaxMarginal1YieldMunicipalETYEffectofTaxDeferralonInvestorWealthoverTime0102030years8%TaxDeferred5.76%AfterTaxReturn$1,000InvestmentValueTime$10,062.66$5,365.91Exhibit2.6MethodsofTaxDeferral•RegularIRA-taxdeductible–Taxonreturnsdeferreduntilwithdrawal•RothIRA-nottaxd