FNM221 First Task
You assess the performance of a passive fund relative to that of an active hedge
fund. These two are chosen as they are the two extremes of asset management. You
should use a sample of past returns and other information to evaluate the performance
of each fund type. The starting point will be the expected returns per unit of risk.
However, you should also discuss how risk can be most effectively assessed. Ideally,
you will conclude by recommending one style of investment over the other
The report will be between 1000 and 1500 words. The style should be that of a
professional report. You will try to build a case. The key will be a clear opinion that is
clearly presented, with supportive evidence. The hand-in date is 10:00 on 25 March
2025. The following marking criteria will be applied.
Marking Criteria for FN221 Assignment see attached pdf for
My friend given me this guide below are her comments.....
Hi Aziz, you need to download into excel data from a hedge fund and a passive index fund which can be an etf. I got my data for the hedge fund from Credit Suisse (Rob Hayward posted some data on my studies from credit Suisse and Edhec .for hedge funds). I then downloaded data from Yahoo finance about a passive etf. You then have to do the calculations that Rob did for Bank of America. In excel. Sharpe ratio, value at risk, darting ratio etc. you need to explain the risks levels of both types of investment and argue which one is the better and why.
It is not a company. It is a passive fund or etf like the S&P 500. Then use Robs data from Credit Suisse or Edhec or go to Credit Suisse website and download their hedge fund index data. Make sure the data for both covers the same time period. Then analyse the risk of both investments and decide which is the better investment.
Credit Suisse index is are categories of index funds. Select a period such asMarch 2003 to March 2016. Then go to yahoo finance and download to excel data for the same time period. Then in excel you have to do the calculations Rob did for Bank of America. These are in my studies on an excel document. Copy what he did. Get Sharpe ratio, Santino ratio, value at risk, skew, Kurtosis, performance returns and then argue which investment style you think is the better. Hedge funds are very active. Passive index funds just buy the market and you only get the market return. Use the calculations to support your argument. Regards Martyn
There is no theory. What you have to do is compare a hedge fund with an etf. Then make a case for one style of investment being better than the other. You have to look at volatility. The chance of extreme returns and compare sharpe ratio etc. you need to discuss the risk and compare against the returns for each style of investing. Hope this helps.
Bloomberg and credit sussie through data collection
i have attached the excel file you have to do same like this but collect data from Bloomberg or credit Suisse
You have to calculate and then write and analyze the results
also attached screehshot of my chat with my friend also check this.
Please read instruction carefully, and provide me high quality work. don't copy anything from my other friend work.