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What lessons can the fund management industry learn from the Woodford investment scandal?
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- Question 3 What lessons can the fund management industry learn from the Woodford investment scandal?Why is it harder to assess the performance of a hedge fund portfolio manager than that of a typical mutual fund manager?Why are financial intermediaries a bigger and more important source of funds for investors than financial markets?
- 1. What is the Future Development in the fund management industry? 2. What is Fund Valuation? 3. What is the global investment management industry and its major playersHow might the incentive fee of a hedge fund affect the manager’s proclivity to take on high-risk assets in the portfolio?Why is it so hard for actively managed funds to generate higher rates of return than passively managed index funds having similar levels of risk? Is there a simple way for an actively managed fund to increase its average expected rate of return?
- What is the best ways or strategies for a company to hedge the funds in order to eliminate the risk or lose profit?What are the advantages of evaluating fund performance based on Internal Rate of Return (IRR)? Why would an investor prefer to evaluate a fund based on a cash-on-cash return?Why do managers of financial institutions care so muchabout the activities of the Federal Reserve System?
- Explain the concept of immunization within a portfolio management context. How can immunization be achieved for a fixed income strategy? What type of fund would typically employ immunization techniques? Further, can you employ immunization for asset only funds, and if so, how is this different to asset and liability types of funds? Carefully justify your answers.what are the key characteristics of active fund management and passive fund management, focusing on how the objectives of active management differ from those of passively managed funds.What is different between long-term mutual funds and money market mutual funds and what are the main regulators of mutual funds?