FPC008 Investment Advice - Assignment 2

Question 7 Hiring and firing (14 marks | Word limit: 600 words)

Tex has asked about the process used when replacing a fund manager. He is interested in the issues that need to be considered in the process, as he has been reading the articles listed below. 

(a) Using these articles, discuss the considerations and problems in replacing a manager and the costs associated with hiring and firing fund managers. (10 marks)

(b) Which managers would you review in the current portfolio? List some of the questions that you would ask the managers and considerations that you need to take into account. (4 marks)