Modules / One Intensive Workshop
Personal Objectives Assessment
investor will learn to evaluate your personal circumstances in areas
overall investment knowledge
Also, you will be able to differentiate your:
(Income, Growth, Safety)
(Tax Minimization, Liquidity,
Other Individualized Objectives)
Time Horizon Assessment
investor will familiarize yourself with:
Asset Allocation Assessment
be able to:
the appropriate asset mix
investment capital to various asset groups.
each asset group's expectations.
your Asset Mix and your Investment Objectives as each
contribute to the structure of a your balanced portfolio.
the Asset Mix Decision
Comprehensive Portfolio Evaluation
of total holdings with asset allocation determination on an Excel
spreadsheet to visualize totals and percentages on one page.
high concentration positions
needs assessment versus portfolio structure
discrepancies between personal investment needs and
objectives versus actual portfolio structure
portfolio risk and time horizon versus personal risk and time horizon
personal objectives assessment and personal circumstances to determine
appropriate portfolio structure
asset allocation if needed
"snapshot" to stay focused
Model Portfolio Assessment
and understanding the selection of the appropriate Model Portfolio suited
Portfolio Models are:
(which serves as the benchmark for portfolios in comparing actively
vs. passively managed asset allocations).
Each of the
four Portfolio Models has five asset allocations for use with the most
commonly used investment risk tolerance categories today:
Moderately Aggressive, and
Strategic Portfolio Optimization
learn and understand:
the key or goal to portfolio optimization is in Creating an "efficient"
investment portfolio based on your particular needs as outlined in
the investment process.
requires an understanding of the fundamental concepts of diversification
and asset allocation, and while risk is not completely avoidable
in investing, diversifying your investments may help manage and
reduce your level of risk.
diversification means spreading out your investments
diversification is a strategy that recognizes the inherent fluctuations
in the market, and in various types of investments.
there are different ways to diversify; there are many levels of diversification.
can diversify by asset classes - choosing a mix of stocks, bonds,
can diversify by various asset sub-classes, which often fall into one
of the following categories:
Market sector - Economic cycles affect various sectors (i.e., manufacturing,
energy, technology) differently.
Investment style - Securities based on a specific investment style (i.e.,
growth, value) also respond differently to change
region - Specific countries or regions may have very different financial
markets and economic conditions.
Core Holdings Review
learn how to identify Core vs. Non-core Investments
core holding is just what it sounds like, hence, the central part
of your investment portfolio.
core requires investments that will be reliable year in and year out.
the solid foundation for the rest of a portfolio.
your investment goals, your portfolio needs a solid, reliable core,
usually a combination of stable, blue-chip companies.
great core stocks share a handful
of qualities; they're profitable, consistently earning great returns
on the money shareholders have invested.
Founder, Investment Coach and Educator
Personal Financial Self-Assessment Quiz, and Model Portfolio profiles.
learn the meaning the various investment strategies:
complement your Personal Investor Profile
are based on you the diversification and asset allocation of your
portfolio, and the your Personal Objectives Assessment.
Psychological Market Theory
learn various aspects of Psychology & Behavioural Finance
- Much of
economic and financial theory is based on the notion that humans act
rationally and consider all available information in the decision-making
researchers have discovered significant evidence that this is frequently
not the case, and that this evidence revealed repeated patterns of irrationality,
inconsistency, and incompetence in the ways individuals arrive at decisions
and choices when faced with uncertainty.
- Many researchers
believe that the study of psychology and other social sciences can shed
considerable light on the efficiency of financial markets as well as
explain many stock market anomalies or irregularities
Understanding & Interpreting Securities Analyst Recommendations
understand two basic types of issues.
- The first
stems from the fact that analysts' ratings today do not have clear,
- The second
relates to the potential conflicts of interest that you, as an investor,
should be aware of in assessing the usefulness to you of any particular
- As stock
market participation has expanded on all major stock markets as general
investment interest has broadened, investment information has exploded
as well. With the media in its many forms, such as; TV financial news,
business magazines, newspapers, Internet Web sites and chat rooms, corporate
filings and news releases, stock analyst reports, there is plenty of
conflicting data for investors to sift through today, not thoroughly
understanding its true meaning.
quantity is no guarantee of quality:
has never been harder for small investors to assess which information
they should rely upon in making decisions. As a result, some investors
have depended too heavily on the one-word recommendations of just a
Many don't understand the particular context in which such recommendations
are often generated, and the particular ways in which they often must
- As such,
analysts play a useful role in our capital markets, but investors should
understand that role. For example, by doing in-depth research for their
large institutional clients and employers, analysts can help substantial
sums of capital be directed to more productive uses in our economy.
usually summarize their research reports with a brief recommendation.
Every firm uses its own rating system. Examples of such recommendations
will be explained in this Module.
Research - Fundamental Analysis
learn and understand
- This form
of security analysis is based on fundamental facts about a company as
revealed through its financial statements and an analysis of economic
conditions that affect the company's business in trying to understand
the factors that cause equity price movements.
- That in
fundamental analysis, investors attempt to predict the direction of
asset prices by examining the overall economy, the industry, the individual
companies, as well as the internals of the companies being researched,
such as, the management, the financials, the competition in any given
Research - Technical Analysis
learn and understand:
- This form
of security analysis focuses on the price movement itself in trying
to determine or predict future price movements by analyzing charts patterns
and formations, momentum and sentiment indicators, with the main emphasis
on price and volume indicators
Strategic Portfolio Rebalancing
- In following
the investor profile, the original designed portfolio structure would
be maintained by periodic rebalancing the portfolio to reflect the proper
asset mix and individual diversified holdings.
- This process
should be implemented as soon as necessary as per the investor profile.
Quarterly Monitoring Review
learn and adapt:
- A habit
of properly monitoring your investment portfolio on a quarterly basis,
which is crucial in a successful portfolio program.
guidelines ensuring your investment needs and objectives are met.
- To make
required adjustments in a disciplinary manner to ensure continued success.
Savings & Retirement Assessment
- How a
progressive savings and investment program will ensure adequate retirement
assets and a comfortable revenue stream in the retirement years.
- On a yearly
basis on or when personal circumstances significantly change, the investors
will re-assess their Personal Objectives once again to re-align their
portfolios if necessary to reflect the current conditions of their personal
circumstances and lifestyles.