Investment objectives, investment policy and performance measurement

Abstract

In the first twelve chapters of this book we looked at different types of Stock Exchange securities, how to value them and how to compare them through the medium of expected holding period return and risk. We also considered the advantages of portfolio investment, both domestic and international, and the different requirements of the institutional (as opposed to the individual) investor. In this final chapter, we examine the investor’s overall strategy, from the factors he should take into consideration when quantifying his objectives to the measurement of his actual investment performance.