Assume you have recently been recruited to manage an equity fund. Your line
manager has allocated you a fund that has a nominal sum of Singapore dollars
100,000,000 and your task is to construct an equity portfolio consisting of no more
than 10 stocks using a fundamental approach to stock selection. The stocks must be
selected from the FTSE ST ALL Share Index.
You are required to prepare a report to your manager for approval which provides the
philosophy behind your selection process and explains why customers should invest
in your fund. The report is aimed at household investors
Sample Solution