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Please provide the Managerial Report to this question, I know there is a same question here on Chegg, but the answer is WRONG and USELESS,
Please provide the Managerial Report to this question, I know there is a same question here on Chegg, but the answer is WRONG and USELESS, don't copy thanks.
Do-It Mutual Funds Sdn Bhd is an investment firm located in Kuala Lumpur. Do-It is now looking to invest RM1,000,000. Based on Do-It's current investments, the firm's top financial analyst recommends that all investments be made in the oil & gas industry, plantation industry, or in government bonds. They identified five investment opportunities and projected their annual rates of return. The investments and rates of return are shown below. Investment Pacific Gas Borneo Carigali Oil & Gas Muda Plantation KP Estates Government bonds Industry Oil & Gas Oil & Gas Plantation Plantation n/a Type of Investment Commodity Stock Commodity Stock Bond Projected Rate of Return (%) 10.5 7.4 5.0 7.5 4.0 Risk Profile High Medium Medium High Low In order to manage risk, the management of Do-It has imposed several guidelines. 1. Neither industry (oil & gas, or plantation) should receive more than a total of RM500,000. 2. Government bonds should be at least 25% of the total investment. 3. The total investment in the high risk profile cannot be more than 40% of the total investment. 4. The total investment in the medium risk profile cannot be more than 60% of the total investment. 5. Minimum amount that can be invested in one commodity is RM100,000. Managerial Report Assume that you are one of investment analysts working with Do-It. Your investment manager asked you to prepare an investment plan. All RM1,000,000 that is available must be invested. Your investment plan must consist of, but not limited to the followings. 1. Information showing the amount should be made for each investment and projected total return. 2. Detailed breakdown of investment and their expected return, according to industry, type of investment and risk profile. 3. Mathematical model of Do-It's problem (in Appendix) In addition to above, as you have previously involved in analyzing REIT markets (Industry: n/a; Type of investment: REIT), you believed that you can maximize the total return by investing in REIT too. Based on your analysis, REIT can be considered as having a medium risk. You went through report on REIT you have prepared previously, and found two interesting investment opportunities. Investment Sunday REIT Harta REIT Projected Rate of Return (%) 7.5 6.3 However, there is one additional restriction imposed by Do-It to a new type of investment. Total amount invested in new type of investment must not go beyond 30% of the total investment. Prepare an alternative investment plan with a detailed report similar to above, this time with the inclusion of REIT. You must present your investment plan to your investment manager. You are given 5 minutes to present your planStep by Step Solution
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