Harvard Referencing System

1. Assume you are an investment advisor. Your client is unsure what the   main benefits and reasons for investing in a Mutual Fund or an ETFs are

o Explain the main differences and similarities   between each other o  Explain what the main   advantage and disadvantage of investing in mutual funds or ETFs are

o Explain the main difference between active   and passive management

2. Go to https://www.morningstar.com o  What   information does the Morningstar Style Box® provide?

o Morningstar assigns a Rating to each Mutual   Fund. What are the criteria they use to assign this rating?

o Use the information provided above (style box   and ratings) to choose 5 different mutual funds/ETFs (5 funds/ETFs per each   portfolio) to prepare 3 portfolios for 3 different types of investors:

1. Aggressive

2. Moderate

3. Conservative

o In half a page for each portfolio, explain:

1. The rationale behind   choosing the given funds/ETFs per each

portfolio

2. The criteria chosen   to build each portfolio

3. Follow up the prices   for all 3 portfolios for a week. Calculate the return for each portfolio at   the end of the week.

Explain your results.

Format

This activity must   meet the following formatting requirements:

• Main document please   uploaded in pdf format.

• It is mandatory to   submit an EXCEL file where you explain the different calculations you made.

• To that effect, please   find 2 tabs in Turnitin submission point.

• Calculation results   HAVE TO be explained and the calculation steps displayed.

• Font size 12

• Double-spaced

• Harvard Referencing   System