CIMA case studies
CIMA · Put your knowledge to work in context.
The Certified Investment Management Analyst (CIMA) certification is a professional credential for financial advisors and investment consultants who manage investment portfolios for affluent and institutional clients. The program emphasizes applying advanced investment theory to practical portfolio construction, portfolio management, and risk management rather than product sales. The exam is a 110-question multiple-choice test plus 10 pretest questions, completed in four hours. Its content is divided evenly across five areas: fundamentals; investments; behavioral finance, portfolio theory and construction; performance analysis; and the portfolio implementation and consulting process, including the Code of Professional Responsibility and investment policy statements. The CIMA case studies are 5 cases and about 3,361 words.
1Confirming a 7.5% Return Assumption
Your client, age 47, holds 1.25M and contributes 30,000 at each year-end. Her goal is $3.5M at age 62 - a 15-year horizon - at which point she retires.
637 words, about 3 min2The Client Who Wants Out at the Bottom
Your client is 64 and retires in 12 months. His portfolio peaked at 3.40M in January and is now 2.75M.
687 words, about 3 min3The Concentrated Low-Basis Position
Your client, 58 and single, has 9.4M: 5.8M in her employer's stock (61.7%), acquired over 22 years with a 600,000 basis, and 3.6M in a diversified 70/30 portfolio. She plans to leave the company in 24 months and begin $250,000/year of portfolio withdrawals at 60.
721 words, about 4 min4Alpha, Fees and a Benchmark Nobody Checked
Three years ago you hired a large-cap value manager for a client's $22M taxable account. Gross annual returns were 9.8%, 4.2% and 14.1%; the client's 60/40 policy benchmark returned 8.9%, 3.5% and 15.0%.
626 words, about 3 min5Rebalancing Against Unfunded Commitments
An endowment has 180M and a policy of 55% global equity, 25% private capital/real assets and 20% fixed income and cash, with ±5 percentage-point bands. Current values: equity 113.4M, private capital 39.6M, fixed income 27.0M.
690 words, about 3 min