2 problems Scenario For this project, you are a portfolio manager who works with

2 problems
Scenario
For this project, you are a portfolio manager who works with many clients. Using your knowledge of investments and current market factors, you will recommend specific investment options based on the client’s goals and risk tolerance. Recognize that clients may not be aware of their ability to manage risk nor how it aligns with their life objectives. As a portfolio manager, you will build relationships with your clients that will allow you to recognize their risk tolerance and communicate when their portfolio may not coincide with their goals.
Using the learning from your milestone assignments along with your knowledge of investments, you will research and create an investment policy statement based on the factors above.
Directions
Using a client profile from the High-Level Profiles document provided under the Supporting Materials section, create an investment policy statement based on the Project Two Portfolio Calculation Template. To complete this project, you must address the following rubric criteria:
Part One: For Part One of this project, you will do the needed calculations and research to inform your investment policy statement. You will include a written summary that is supported by appropriate calculations.
1.Interpret a client’s current portfolio to identify the asset allocation strategy. Address the following in your response:
Investments currently held
Alignment with client profile
2.Determine the client’s investment objective(s). Address the following in your response:
Gaps between current financial state and goals
Investment needs (e.g., education, retirement, business venture)
Future plans
3.Analyze how current economic factors influence specific investment options that align to the client’s goals. Address the following in your response:
Inflation
Current political status
Global events
4.Analyze how the state of the current markets influences specific investment options that align to the client’s goals. Address the following in your response:
Use the U.S stock market, the international stock market, the U.S. bond market, and the commodities market.
Identify the state—attractiveness.
Support the selection of investment options.
5.Forecast potential market impacts on portfolio recommendations, using the portfolio calculation template. Address the following calculations in your response:
Future trends
Historical data
Multiple time horizons
6.Measure the risk of different asset allocation strategies, using appropriate calculations in the portfolio calculation template. Address the following in your response:
Risk of individual investments and impact on portfolio
Risk of portfolio
7.Compare asset allocation strategies and their risks with a client’s risk tolerance. Address the following in your written summary:
Risk optimization (minimize, maximize, etc.)
Strategies for asset allocation (age-based, life-cycle funds, constant-weight, tactical, insured, and dynamic)
Goal factors
Time horizon
Part Two: In this part of the project, you will create an investment policy statement that highlights your recommendations based on your previous findings.
Recommend an asset allocation strategy that best fits the client\’s needs in the form of an investment policy statement. Address the following in your statement on why that asset allocation strategy is the best fit:
A. Viability, stability
B. Tax efficiency
C. Level of risk and alignment with client’s risk tolerance
D. Alignment with client’s goals
E. Expected return and client’s needs
F. Withdrawal requirements
What to Submit
To complete this project, you must submit the following:
Investment Policy Statement
This project requires two deliverables, a completed Excel spreadsheet using the Project Two Portfolio Calculation Template and a 3- to 5-page Microsoft Word document.
The Project Two Calculation Template contains formulas used in the investment allocations.
A 3- to 5-page Microsoft Word document supporting adjustments within the investment policy statement should use 12-point Times New Roman font, double spacing, and one-inch margins. Sources should be cited according to APA style.
Supporting Materials
The following resource(s) may help support your work on the project:
Profile Options: Project Two High-Level Profiles (attached)
Use these profiles to create your investment policy statement.
**COMMENTS**
This Final project is a Paper that should have two sections titled \”Part One\” and \”Part Two\”. Excel spreadsheet needs to be analyzed/completed as my supporting evidence for the paper. Use Profile #5 (Santiago and Piper). Show one calculation from the excel spreadsheet within the paper. I have attached the rubric requirements for an idea of how this final project will be graded.
Paper shouluvld be 4 Pages with 8 citations.