Advantage of The Depicting Zeus Samples†MyAssignmenthelp.com

Question: Discuss about the Advantage of The Depicting Zeu's. Answer: Depicting Zeus advantage: The major advantage of the Zeus is relationship oriented client service that is been provided by the company. In addition, the teamwork strategy mainly allows the organisation to attract more investors in their vicinity. Moreover, the strong client base and rust of customers also play an essential part in the commencement of business operations. Furthermore, the company mainly follows conservative, risk averse, quality oriented approach to investment management, which helps in attracting more investors and generating a risk-free return. Depicting who is Zeus investors and what are their issues: Zeus mainly has risk-averse high net work clients, who mainly use the aims in getting risk free return from their investment. However, Zeus also entertains investor according to their investment objectives and adequately accommodates all the relevant wishes of the investors. The main issues of the investors are the overall tax issues, which is imposed on investors and needs to be given by client with holding period. Moreover, the high tax bracket investors mainly aim in utilising tax exempted investment, which is mainly utilised by low tax bracket investors. In addition, the high tax bracket investor have the main issues, as they have to pay 40% tax bracket, while capital gain tax bracket in 28%, which is mainly increasing their overall tax payout. Depicting the current investment prospects, advantages, and disadvantages of equity growth and bond funds: The current investment prospects of the equity growth and the bond fund are relatively high, as it combination mainly allows Zeus to reduce the overall risk of the portfolio and in turn generates a higher return. In addition, the bond return has adequately increased over the years, while equity growth has generated higher returns. Defining and describing each performance measure: Total returns relative to appropriate indexes: The total return relative appropriate index mainly helps in understanding the overall return that is provided by the investment or portfolio in comparison with the actual index retunes. This helps in identifying the viability of the return provided from the portfolio. Treynor Ratio: Treynor ratio mainly helps in identifying the risk adjusted return based on systematic returns, where the risk-adjusted returns could be identified. Sharpe Ratio: The use of Sharpe ratio helps in identifying the risk adjusted returns, which is been presented from an investment. This mainly allows the investors to adequately identify the excess return that is been presented from an investment and identify the relative risk involved in the investment. Jensens Alpha: This measure mainly allows the investors in identifying the risk adjusted performance of security and portfolio in ratio with the expected return of portrayed from CAPM. Calculating each measure for equity, Bond, Balanced, and International funds: The overall Equity portfolio of Zeus only portrayed a higher Sharpe ratio, while both Treynor ratio and Jensens Alpha was below the Lipper growth index. This only indicated that risk adjusted returns provided by the equity portfolio are relatively low, as higher risk is attached with the portfolio. The bond fund managed by Zeus have low returns in comparison to Lehman Brothers Aggregate index, as it has low Sharpe ratio, Treynor ratio and Jensens Alpha. This indicates that bond fund is not able to generate the required rate of return as per the index. Moreover, a balanced fund used by Zeus only excels in Treynor ratio from Lipper balanced index, which depicts the low level of beta accumulated by the portfolio. However, on both Sharpe ratio and Jensens Alpha, the overall return is lower than Lipper balanced index. Lastly, the international fund that is been maintained by Zeus mainly portrays the overall high returns than MSCI index, which depicts the adequate viability of the portfolio. Sharpe ratio, Treynor ratio and Jensens Alpha have a higher value than MSCI index and increases overall returns of the company. Depicting how well Zeus funds performed: The overall performance of Zeus has mainly increased overall profits of the company, whereas the return on equity funds, a bond fund and balanced funds was lower than other portfolios. However, the return provided in the international fund is relatively high in comparisons with its competitions, which depicts the overall viability of the investments conducted by the company. The performance of Zeus international funds was relatively high in comparisons to other of the portfolio maintained by the company. Depicting the sub-intervals indicated by new equity manager for selecting new stock selection: After the overall evaluation, it could be seen the majority of the portfolio that is being monitored by Zeus did not outperform their competitors. This only indicates the selection of stock was not adequate, where the new manager needs to select a stock with higher return and low liquidity. In addition, only the international fund of Zeus provided adequate returns, while other portfolio did not provide the adequate returns as per the benchmark. The portfolio provided adequate returns but has high beta, which decreased the overall projected return from Treynor, Sharpe and Jensens Alpha. References Abdollahi, M., Arvan, M., Razmi, J. (2015). An integrated approach for supplier portfolio selection: Lean or agile?.Expert Systems with Applications,42(1), 679-690. Dhrymes, P. J. (2017). Portfolio Theory: Origins, Markowitz and CAPM Based Selection. InPortfolio Construction, Measurement, and Efficiency(pp. 39-48). Springer International Publishing. Gorman, L. R., Jorgensen, B. (2015). Domestic versus international portfolio selection: A statistical examination of the home bias. Lim, S., Oh, K. W., Zhu, J. (2014). Use of DEA cross-efficiency evaluation in portfolio selection: An application to Korean stock market.European Journal of Operational Research,236(1), 361-368