BA 6400 Case Study #1 Short-term investment returns: money market instruments

The analysis report to be presented to the Director is to include:
1. Your concise statement and recommendation of the specific short-term investment options that
meets the firm’s criteria.
Followed by:
2. A detailed summary of the investment asset and the parameters you will use in which to base
your recommendation.
3. A detailed description of the upside and downside risk of each investment. The latter is of
particular importance as the firm may decide to manage excess cash in one or more vehicles for
longer than one year.
4. Source identifier for all investment selections
a. Example: website URL
5. A spreadsheet (embedded into the report) illustrating the following:
a. Asset category/classification
b. Specific money market instrument identifier
i. Example: U.S. Treasury CUSIP
6. EAR for each investment
7. YTM for each investment
a. If held to maturity
b. If sold at the end of 12 months
8. Total return for investment portfolio if held to maturity
9. Spreadsheet model is to include all cell-based formulas for all calculations
Your conclusion is to summarize the recommendation made in item #1 above
Format for report. Your report must:
1. Be presented in Word file format
2. Analysis must be between 3 to 5 pages maximum, including spreadsheet analysis
3. Excel spreadsheet is embedded into the Word file
4. Submit Excel file separately