Financial Markets

Resit Assignment 2 Written assignment (case, essay) Activity brief BCO224 – Financial Markets (3CH/4ECTS) Online campus Professor: Professor George Iatridis [email protected]/

Description • Based on the annual report of Pfizer for the economic year 2020, critically discuss and explain

a) the main risk exposures of Pfizer, and b) the main risk management policies and tools that

Pfizer has employed to mitigate risk exposures. Your discussion should use facts and financial numbers, which may be taken from the risk section of the annual report of Pfizer.

• Exercise Mutual Funds: Calculate the NAV of the following fund, assuming 3,500 shares are outstanding. Calculate the percentage change in the NAV of the fund if stock C climbs to $33.41. Stock Shares owned Price

A 500 $ 5,74 B 6000 $ 65,10 C 3000 $ 12,04

Cash n.a. $ 4.368,40

a) Will the NAV increase or decrease? Why? b) Calculate the return on your investment given

the change in NAV • Read PWC’s report and summarize the

predictions they make for the mutual funds industry based on the COVID19 impact.

Format This activity must meet the following formatting requirements:

• Font size 12 • Double-spaced • 1500-2500 words • Harvard Referencing System

Goal(s) The aim of this assessment is to familiarize students with the various types of risk exposure and the main tools that are available for risk management.

Due date Resit

Weight towards final grade

-

Learning outcomes

• Demonstrate a deep understanding of different types of risk and risk management policies.

• Examine the consequences of risk exposure on corporate going concern and business and financial prospects.

Assessment criteria

The assessment criteria are shown in the rubric on the next page.

Rubric: written assignment

Criteria Accomplished (A) Proficient (B) Partially proficient (C) Borderline (D) Fail (F) Problem identification

The business issue has been correctly identified, with a competent and comprehensive explanation of key driving forces and considerations. Impact on company operations has been correctly identified. Thorough analysis of the issue is presented.

The student correctly identified the issue(s), taking into account a variety of environmental and contextual drivers. Key case information has been identified and analyzed.

The student correctly identified the case (issues), considering obvious environmental/contextual drivers. There is evidence of analysis, but it lacks depth.

The student correctly identified the issue(s) but analysis was weak. An absence of context – the work is basically descriptive with little analysis.

The student failed to correctly identify the issue(s); analysis was incorrect or too superficial to be of use; information was misinterpreted.

Information gathering

The student showed skill in gathering information and analyzing it for the purposes of filling the information gaps identified. Comprehensive and relevant.

Relevant information gaps were identified and additional relevant information was found to fill them. At least two different types of sources were used. The student demonstrates coherent criteria for selecting information but needs greater depth.

The student correctly identified at least one information gap and found relevant information, but which was limited in scope. Some evidence of sound criteria for selecting information but not consistent throughout. Needs expansion.

An information gap was identified and the student found additional information to fill it. However, this was limited in scope. Weak criteria for the selection of necessary information.

Information was taken at face value with no questioning of its relevance or value. Gaps in the information were not identified or were incorrect.

Conclusions The student evaluated, analyzed, synthesized all information provided to create a perceptive set of conclusions to support the decisions and solutions.

The student evaluated, analyzed and synthesized to create a conclusion(s) which support decisions and solutions.

The student reached conclusions, but they were limited and provided minimal direction for decision-making and solutions.

The conclusion was reasonable but lacked depth and would not be a basis for suitable strategy development.

The student formed a conclusion, but it was not reasonable. It was either unjustified, incorrect or unrelated to the case in hand.

Solutions The student used problem solving techniques to make thoughtful, justified decisions about difficult and conflicting issues. A realistic solution was chosen which would provide maximum benefit to the company. Alternative solutions were explored and ruled out.

The student used problem solving techniques to make appropriate decisions about complex issues. Relevant questions were asked and answered. A realistic solution was chosen. Alternatives were identified, explored and ruled out.

The student used problem- solving techniques to make appropriate decisions about simpler issues. The solution has limited benefit but does show understanding of implications of the decision. Alternatives were mentioned but not explored.

The student used problem solving techniques to make decisions about simpler issues but disregarded more complex issues. Implications of the decision were not considered. Alternatives were not offered.

The student formed a conclusion, but it was not reasonable. It was either unjustified, incorrect or unrelated to the case in hand.