How would you invest if you were Swiss Re?

Have you ever wondered how a leading reinsurance company is making its investment decisions? Let us take you on a journey, where you will step into various functions and fascinating numbers of Swiss Re!

Are you ready to start this career journey in our Asset Management depratment: from Investment Analyst to Chief Investment Officer?

Challenge:

Your task is to analyze the data and prepare a document (in any format you prefer) that will answer 4 questions (choose any 4 questions from the 5 questions below):

1. In many financial institutions, the key objective of asset management is to maximize absolute returns. However, this is not the primary goal of Swiss Re Asset management, which has adopted a traditional insurance/reinsurance business model. As a fresh Asset Management employee, can you explain why the goals are different and how? Think of our business model and elaborate.

Start your first job rotation as INVESTMENT ANALYST

2. Swiss Re leverages the expertise of external investment managers (EIM) to manage a portion of its investment portfolio. Imagine you are an Investment Analyst at Swiss Re analyzing the performance of an EIM in the previous month.

Evaluate the performance of OutInvest Inc. (an EIM) and make a recommendation to the Investment Board on whether Swiss Re should keep or terminate the contract with the EIM. Think about the portfolio's allocation compared to the benchmark, comment on the return achieved by the EIM and highlight which of their decisions drove the portfolio's relative performance up and down the most (the data will be sent to you after you accept the challenge).

Continue your next rotation as DATA INTEGRITY SPECIALIST

3. In order to improve performance, OutInvest Inc. has added a new security into the portfolio. The security XS0357179273 in amount of 10,000,000 on 1st Feb 2016 for the clean price of 98%. As a Data Integrity specialist, you need to ensure that the security is properly setup in Swiss Re's investment systems in order to avoid process disruptions at the Reconciliations and Settlements departments. Your task is to assess various aspects (you will receive more data when you accept this challenge). 

You have been now promoted to FINANCIAL AND COMPLIANCE RISK OFFICER

4. You are now moving to the role of a Financial and Compliance Risk Officer at Swiss Re. One of the front-office traders comes to you and tells you that he/she intends to execute a transaction on the financial market by buying a high yield bond issued by a company based in Venezuela and operating in the oil industry. Your role is to assess all potential risks associated with Swiss Re entering into the transaction. Would you support or stop the deal? Please elaborate on the reasons.

You made it to the role of CHIEF INVESTMENT OFFICER

5. Finally, you have made it to the role of the Chief Investment Officer at Swiss Re, well done! Your task is to make the ultimate decision on how Swiss Re should invest $100 billion of its AuM (Assets under Management). Think specifically about which products you would invest into at this point in time (April 2017). Please explain your decisions.


Additional information:

After accepting the challenge, you will receive an Excel file with all information needed.

ASSESSMENT CRITERIA:

  1. Correct solution/decision of the given question
  2. Your reasoning and thoughts behind the solution/decision
  3. Formal aspects of your solution

We are very interested to see what would be your recommendations and what would you base your investment decisions on. Feel free to use as many sources as you like for inspiration, think out-of-the-box and be authentic.

ADITIONAL INFORMATION:

Your solution can be your ticket to an interview to our asset management, re/insurance or other departments! If you are interested in a part-time or full-time job at Swiss Re, please include this sentence on the top of your solution: "I am interested in working for Swiss Re". All solutions will be reviewed about a week after submission and the winners will be announced after the deadline.


Check also our current part-time job offer: https://www.challengest.com/of...


Challenger
Winners
Reward

1st   200 EUR
2nd   100 EUR
3rd   50 EUR