Investment Policy Statement

Executive Summary

FIRST NAME / SURNAME Mr. M Moqsumul Quader

ADDRESS House No. 443, Road No. 6A, Mirpur DOHS,
Pallabi, Dhaka.
TEL +8801767695003
PORTFOLIO Individual, Taxable
CURRENT ASSETS 15,000,000 BDT

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INTENDED AMOUNT OF INVESTMENT 5,000,000 BDT

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INTENDED AREA OF INVESTMENT Dredging Project in Bangladesh

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RETURN GOALS 8%

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LOSS LIMIT FOR 1 YEAR
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Objectives Gradual profit gains and long term growth

GOALS The investment program governed by the IPS is

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intended to supplement the earned income of Mr.

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Moqsumul Quader in satisfying ongoing living

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expenses and to provide a new area of national

development.
RISK PROFILE Assertive
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TIME HORIZON Minimum of 10 years

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SHORT TERM LIQUIDITY NEEDS A minimum of 300,000 BDT per month in the form
of profits gained from this project for family and
living expenses.
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RATE OF RETURN EXPECTATION 8% per annum.

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Fiduciary Responsibilities Masroor Faiyaz Moqsum, as financial adviser to Mr.

and Mrs. Moqsumul Quader, is responsible for
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coordinating updates to the Investment Policy,

including soliciting input from the designated tax
and legal advisers to Mr. Moqsumul Quader. Mr.
Masroor is also responsible for monitoring
application of the Investment Policy Statement and
shall promptly notify Mr. Quader of the need for
updates to the Policy and/or violations of the Policy
in implementation. Mr. Quader shall be responsible

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 Investment Policy Statement

for approving the Investment Policy Statement and

all subsequent revisions to it. Mr. Masroor will also
act as a fiduciary in its capacity as adviser to Mr.
Moqsumul Quader and acknowledge that all advice
and decisions rendered must reflect first and
foremost the best interests of its clients. Mr.
Masroor, also as an investment adviser to Mr.
Quader, is responsible for monitoring investment

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risks and reporting them to Mr. Quader.

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Masroor Faiyaz is also responsible for monitoring

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the investing requirements of Mr. Quader as well as

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monitoring investment and economic issues, and Mr.

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IPS as necessary. Mr. Masroor shall review the IPS
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with Mr. Quader no less frequently than annually.

In general, long term investment performance is

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Portfolio Selection Guidelines determined by asset performance. Equity assets

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provide higher return with higher volatility rates.

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Given the aggressive nature of the investor it is

recommended that maximum of the asset be
allocated as equity.
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The total amount to be invested is BDT 5,000,000

ASSET ALLOCATION
which will be allocated in 3 major segments. As the
investor is assertive in nature and his primary
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objective is growth, the invested fund will be

allocated in the following manner.
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Target
Asset Class Sub - asset Class
Allocation
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Equity Stocks of
Bangladeshi
firms which are
55 - 60%
publicly traded
in the secondary
market.

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 Investment Policy Statement

Target
Asset Class Sub - asset Class
Allocation

Fixed Income Corporate

35 - 40%
Bonds

Cash 0 - 5%

Cash will be more as a safeguard option for the

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investor if by any chance the investment doesn’t
seem to be doing too well.

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Depending upon the market conditions, when

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REBALANCING PORTFOLIO
necessary and/or available, cash inflows/outflows
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will be deployed in a manner consistent with the
strategic asset allocation. In the event of absence of
cash flow, the allocation of the portfolio will be
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reviewed annually. When it comes to the deviation

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from target asset allocation, a tolerance level of +/-

5% is to be maintained.
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As mentioned above, the performances shall be

PERFORMANCE MONITORING
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monitored on a annual basis. For monitoring and

evaluation a couple of benchmarks have to be
decided. These are the following benchmarks that
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are recommended:
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1. Stocks of Bangladeshi firms traded in the

secondary market: DS30 Index
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2. Fixed Income & Cash: For this portion, the

performance of several portfolio managers with
similar amount of assets and similar asset
allocation will be used as the benchmark.

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