FIN 923
Table of Contents
Table of Contents 1 Investment Policy Statement (IPS): 1
Constructing the portfolio: 3
Passive Portfolio: 6
Active Portfolio: 7
Performance of Active portfolio 18
Sharp Ratio: 19
Conclusion: 20
References 21
Investment Policy Statement (IPS):
Mr. Ziad Hamzeh- Lebanese National- is a Senior Credit Risk Manager at Invest Bank Head Office Sharjah; He is 45 years Old, resident in Sharjah for 20 years. Mr. Hamzeh is divorced with two children living with their mother in Beirut- Lebanon and continuing their Bachelor Studies in American University of Beirut, as he believes the educational system is better and cheaper than that in U.A.E. His main Objective is to earn minimum of 15% in a period of 10 weeks, as he believes UAE stock market is a great opportunity as Dubai is a candidate city for the EXPO 2020, however he is not willing to loose more than 15% of his initial capital of AED 1,000,000/-. As he will use some of this capital for buying a house in Dubai near his new office; for he got a new job offer at Emirates NBD as Head of Credit Risk Department, which he will be joining in January 2014.
Mr. Hamzeh is a highly paid and a well respected banker with a current annual income is AED 540,000/- (i.e AED 45,000/- monthly) plus a yearly bonus that counts to no less than AED 60,000/- which would be credited in his account every 31st December of each year. His liquidity needs during these 10 weeks is a rent cheque of AED 50,000/-, additionally AED 75,000/- for each of his two sons [adding up to AED 150,000/-] who are studying in AUB (American University of Beirut) as a living and educational support, last he spends up to AED 30,000/- as a living expense for that period of 10 weeks.
Mr. Hamzeh has accumulated through out his life an Asset base totaling of AED 3,600,000/- where he invested most of it in real estate (i.e buying a peace of land and a vacation home in Lebanon summing up to AED 2,000,000/-) as
Table of Contents 1 Investment Policy Statement (IPS): 1
Constructing the portfolio: 3
Passive Portfolio: 6
Active Portfolio: 7
Performance of Active portfolio 18
Sharp Ratio: 19
Conclusion: 20
References 21
Investment Policy Statement (IPS):
Mr. Ziad Hamzeh- Lebanese National- is a Senior Credit Risk Manager at Invest Bank Head Office Sharjah; He is 45 years Old, resident in Sharjah for 20 years. Mr. Hamzeh is divorced with two children living with their mother in Beirut- Lebanon and continuing their Bachelor Studies in American University of Beirut, as he believes the educational system is better and cheaper than that in U.A.E. His main Objective is to earn minimum of 15% in a period of 10 weeks, as he believes UAE stock market is a great opportunity as Dubai is a candidate city for the EXPO 2020, however he is not willing to loose more than 15% of his initial capital of AED 1,000,000/-. As he will use some of this capital for buying a house in Dubai near his new office; for he got a new job offer at Emirates NBD as Head of Credit Risk Department, which he will be joining in January 2014.
Mr. Hamzeh is a highly paid and a well respected banker with a current annual income is AED 540,000/- (i.e AED 45,000/- monthly) plus a yearly bonus that counts to no less than AED 60,000/- which would be credited in his account every 31st December of each year. His liquidity needs during these 10 weeks is a rent cheque of AED 50,000/-, additionally AED 75,000/- for each of his two sons [adding up to AED 150,000/-] who are studying in AUB (American University of Beirut) as a living and educational support, last he spends up to AED 30,000/- as a living expense for that period of 10 weeks.
Mr. Hamzeh has accumulated through out his life an Asset base totaling of AED 3,600,000/- where he invested most of it in real estate (i.e buying a peace of land and a vacation home in Lebanon summing up to AED 2,000,000/-) as
References: 1. Why Dubai ought to win the Expo 2020, Neelam Ashraf, November 26, 2013 Available from: [26 November 2013] 2. MidEast Stocks factors to watch, Reuters, November 19, 2013 Available from: [26 November 2013] 3. Dal Al-Takaful General assembly dated 09/10/2013 4. http://www.dfm.ae/Default.aspx 5. Mobile services market loses 19 thousand participate in July, AL Khaleej News 01st November 2013, Available from: [01/10/2013] 6. UAE and Burundi sign open skies agreement, AL Ittihad News Paper 06th November 2013, Available from: [06/10/2013] 7. EMAAR Properties selling all units of “The Address Residence Fountain Fuse 3” by Melhim Al Zubaidi; AL-Khaleej news paper published (in Arabic) on 21/09/2013 8. Generous Dividends but royalty rates still a concern- SELL by Naeem Investment , published on 20/08/2013, Available from: [22/09/2013] 9. Gulfbase.com 10. Thomson Reuters