FINANCIAL MARKETS AND

INSTITUTIONAL INVESTMENT
MANAGEMENT
Coursework Assignment
This coursework is an individual assignment. The coursework has to be presented in a
good format. Overall, including tables, references etc. should not exceed 3000 words.
The coursework weighting is 30%.
The coursework will be due on Monday, 9th January 2017 before 1pm.

Instructions
Students are required to note the following:
1. The coursework is expected to be 3,000 WORDS LONG ( 10%).
2. Students are expected to answer ALL parts of the assignment.
3. The assignment should be produced in Microsoft Word and Excel.
4. In terms of presentation:
(a) All work must be presented in the sequence and manner suggested below.
(b) Students should strive for a clear organised statement to the reader and the
coursework should be proof read several times, MARKS WILL BE DEDUCTED
for poor spelling and if there is a lack of clarity.
(c) The coursework should be written in Microsoft Word, typescript Times New
Roman 12pt., one and half line spacing.
(d) The coursework is expected to have a COVER PAGE, with your names, student
numbers AND a TABLE OF CONTENTS.
(e) All tables, graphs and appendices are to be CLEARLY LABELLED; MARKS
WILL BE DEDUCTED for poor labelling.
5. Students are required to correctly reference any material used in the preparation of
the coursework and include a list of references at the end of the coursework, MARKS
WILL BE DEDUCTED FOR INCORRECT REFERENCING.
(Note: A guide on referencing can be found on the university library website at
http://www.westminster.ac.uk/study/current-students/support-and-facilities/libraryitservices/
referencing)
6. As in any assignment, it is important to start early, to this extent, it is important that
you start meeting and collecting your data AS SOON AS POSSIBLE.
7. Students will be required to submit the assignment online and are therefore required
to familiarise themselves with how to do this WELL AHEAD OF THE
DEADLINE, excuses of I did not know how to submit will not be accepted.
8. Any submission by email is NOT acceptable and will NOT be marked.
Should you have any queries regarding these instructions, please do not hesitate to
contact the module leader either by email or during office hours.

Coursework Assignment
Setting the Scene
WBS is a pension fund that is managed professionally by an expert fund
manager who invests in a range of investments. You are a fund manager looking to
buy into mutual funds and exchange traded funds (ETFs) on half of the pension fund.
To facilitate your decision-making you will be analysing the performance of
mutual funds and ETFs in the last three years. You are looking to invest in three
mutual funds and three exchange traded funds (ETFs) based on their performance.
[Data may be downloaded from Bloomberg].
a) Prepare a report setting out the following information
The rationale of choosing the mutual funds and ETFs
Set your objectives growth or income, combination of both and/or any other
relevant objectives etc.
Constraints for the investment manager.
(20 Marks)
b) You will be using fundamental analysis (the top-down approach) to select
and analyse the funds world-wide. Using the tools that you have learnt in top
down approach, provide an analysis of the economy and various markets(i.e.
equities and bond) and give reasons as to whether or not it is favourable to
invest taking into account the macroeconomic and chosen market conditions.
(20 Marks)
c) To analyse the performance of the funds, compute the risk adjusted measure
i.e. the Sharpe Ratio.
(15 Marks)
d) Compare and contrast your results (from Part c) on the performance of ETFs
and Mutual Funds. Comment on your findings and justify your answers.
(25 Marks)
NB. Students should provide a written description that covers the following:
1. The concepts behind the calculations.
2. Any assumptions made.

e) In the concluding portion of the report, students are required to summarize the
purpose and findings. Students may provide a discussion of the major points
and drawbacks and a forecast of how the funds would perform with possible
assumptions if required. (Summary of findings, limitations and
recommendations and prediction of the future performance of the funds).
(20 Marks)