Investment Analysis

Running head: INVESTMENT ANALYSIS
FBL – A&F - Common Academic Framework - Accounting & Finance Front Sheet
This sheet must be attached to all submissions of Accounting & Finance coursework.
No assignment will be accepted without it.
Student Names: Asif Ali
Student ID's: 18430788
Module Code: FINM014
Checklist before submission
Have you read, understood and acted in accordance with the referencing guidelines set
out in the appropriate Accounting & Finance Module Guide.
Where you have quoted directly from or where you have paraphrased the work of others,
have you acknowledged and appropriately referenced the source of your quotation in the
body of the text?
Have you placed all direct quotations in inverted commas?
Have you listed and correctly cited all your sources in your reference list and
bibliography?
Declaration by the candidate named above
I confirm that this is my own work (or, in the case of a group assignment, the work of my
group) and that, although I may have consulted others in the course of assembling
material for the work, the finished article has been completed without help or
participation of any other person (other than, in group assignments, other members of the
same group).
The work contains no material drawn from unattributed sources.
Student Signature: Asif Ali Date: 23/04/2019

1INVESTMENT ANALYSIS
Table of Contents
Introduction:....................................................................................................................................2
i) Brief overview of the UK fund management industry, while discussing the role of fund
management:....................................................................................................................................2
ii) Critically assessing the different investment management companies in UK:...........................4
a) Overview of the funds:................................................................................................................4
b) Investment philosophies portfolio management and strategies:..................................................5
c) Asset allocation techniques and practises:...................................................................................6
d) Charges:.......................................................................................................................................8
e) Investment performance compared to another fund and benchmark:.........................................9
iii) Comparing the funds based on their overall performance and discussing possible reasons why
the fund manager outperforms the benchmark:.............................................................................12
iv) Critical reflection and recommendation to improve the performance of the funds:................14
Conclusion:....................................................................................................................................14
References and Bibliography:........................................................................................................15
Appendices:...................................................................................................................................17

2INVESTMENT ANALYSIS
Introduction:
The overall assessment mainly aims in detecting the performance of two funds situated in
United Kingdom. Moreover, two funds namely iShare-100-UK-Equity-Index-fund and Schroder
Core UK Equity, which is operation in United Kingdom to improve the level of income from
operations. The overall performance of the funds is compared with each other and then with the
FTSE 100 index, which can help in generating high level of income from investment. Adequate
evaluation has been conducted, while assessing the different investment management companies
that is been situated in UK. In addition, the performance of the fund managers is mainly used for
detecting the how the fund could outperform the benchmark.
i) Brief overview of the UK fund management industry, while discussing the role of fund
management:

3INVESTMENT ANALYSIS
The UK fund management industry has relevantly flourished due to the presence of
adequate investor demand. The fun manager to allocate the relevant fund over the period of
investments uses the diversified investment options. The above figure provides information on
the current asset management industry, which is currently present in UK. The total assets
managed in UK are estimated to be at the levels of £9.1 Trillion. Therefore, it could be detected
that UK fund management industry is relevantly high, which allows the investors to improve
their returns from investment (Mason and Harrison 2015).
There are specific roles of fund management industries, as it helps in managing the
institutional arrangement, products, processes and regulation of the companies. These roles are
depicted as follows.
 The fund management industries are responsible for creating the overall funds for the
Institutional arrangement, which can help in detecting investments that needs to be
conducted for improving the level of income.
 Moreover, the fund management industries are responsible for creating attractive
Products for investment, which allow the investors to diversify their risk and generate
higher returns. The fund-management company create product based on the risk attributes
of as investor, which is acknowledge before creating their investment portfolio (Sullivan
and Mackenzie 2017).
 The fund management company is also responsible for depicting the process of the
investment, which are used by investors for improving their return on investment.
 In addition, the fund manager’s presence also forces the companies to alter their
regulations, as per the industry standards. The valuation of the fund management industry