Investment Appraisal Assignment - 2 Example | Topics and Well Written Essays - 2500 words

Investment Appraisal - 2 - Assignment Example The money accumulated is then invested in various investments, so that it generates further income. It is made sure that the income generated is enough to payout the pension benefits provided to the employees. The management of the funds is not necessarily separate from the management of the company. Usually these managers have expertise in investment techniques, in order to maximize the return upon the investments made. The fund portfolio is evaluated as how much percentage is invested in each portfolio. Also, it is taken into consideration how the return from each investment is accounted to the performance, of the fund as a whole. Based on the performance of the funds the investment appraisal is carried out. Fund Investment The pension fund is the accumulated fund, collected from the employers and employees. The earnings that this fund generates is accumulated within itself. The fund is managed by professionals with expertise in the related field of investment. The funds are to be utilized in fulfilling the financial needs of the company, which it has to bear in terms of constructive liability. The constructive liability being, to pay pension and other after retirement benefits to the employees. Pension fund are the accumulation of funds that are invested in various investments, where the returns are generated. ... The current portfolio is invested diversely in four divisions of investments, namely, UK Equities, Overseas Equities, UK Gilts and UK Property. A mere 5% of assets also exist in the form of cash. A) Review of Current Portfolio In the current portfolio of the assets, UK equities have a weightage of 50% of the fund. The assets held by the funds should not lose value and should be able to provide a handsome amount of return. Based on the risks associated with the assets of the fund, the main cause of concern is whether the fund performance is persistent and increasing or not (Christopher, et al., 1998). The portfolio of the funds consists of 25% of UK gilts investment which are the least risky of all the investments and also provide the least return. The appropriation of the funds in the current portfolio elaborates that 5% of cash is held. With the total fund size amounting to ? 1billion, this amounts to ? 50 million. This is an asset that is not invested and is losing value over the t ime. The cash that is retained in the portfolio is not considered to be healthy. Other liquid assets, such as equity stock, can easily be traded in the market. It should be considered as it will benefit the fund. This is because it shall be providing a return, thus minimizing the impact of inflation and reduction in the value of money. The majority of the portfolio consists of UK security and amounts to the ? 500 million. This amount is invested in the equity stock of the companies listed in the stock exchanges in United Kingdom. The performance of the fund is mainly concerned with the amount of return and the rate of return that it provides accounting for the risk associated with it too (Chan, et al., 1995). The performance of

Areer progress Essay Example | Topics and Well Written Essays - 1250 words

Areer progress - Essay Example Third, equipped with sophisticated management skills, I will move ahead to manage the operation of a company at a higher decision-making level in a way that I can get experiences on how to run a company by myself. Fourth, over the long run, I will set up my own company in order to become a successful entrepreneur on my own right. I remind myself of these goals every morning on my way to work. Due to the fact that my ultimate goal is to become one of China's best businessmen ever, I am glad to say that I have been taking very solid steps towards that goal. As a graduate from a military university, I have received sound management skills. Upon obtaining my Bachelor's Degree, a number of choices were presented to me. I knew that management is an applied science, and one can hardly be a successful entrepreneur without ever managing anything. After my graduation in 2004 as a Medical Doctor, I chose to work at SINA Corporation as the first step of my career for accomplishing my goals. SINA Corporation is the biggest media company and value-added information service provider in China. I worked as a manager in the Business Development Department at SINA Corporation. ... Yet I feel that my current knowledge and expertise are not up to the task that I have set for myself. I do not know enough to run a viable business venture on any large scale, yet. I could pursue my career with SINA Corporation and continue to learn business management skills but after I examined my past work and education history I came up to believe that I will have more opportunities if I can receive the kind of comprehensive and systematical business and entrepreneurial training that a MBA program can offer. Compared with other famous business schools in the US, Wharton, a cradle of some of the world's most important businessmen, is my only choice. Wharton appeals more to me because not only of its reputation and legacy, but also because it suits my own needs. I once compared Stanford MBA Entrepreneurship courses, which are also famous worldwide, with Wharton's before I began the application process, and the results showed me that Wharton can really help me to achieve my career goals in a better and more efficient way than Stanford. First of all, Wharton's Entrepreneurship courses suit my backgrounds and current situations. My father is one of the most famous and successful enterprisers in China, and he runs many private companies now. He wants me to help him run part of those businesses in the future, so I have to learn not only the entrepreneurship aspects of a business but also how to run a family business. Entrepreneurship courses in Wharton's curriculum, such as Strategies and Practices of Family-Controlled Companies, are designed for those people who plan to manage family-controlled companies and for those planning a career in a