Analyst’s report on Argentina from the perspective of an international bank.
Description
You should prepare an analyst’s report on Argentina from the perspective of an international bank. You may make assumptions and please ensure to state what they are in the report. For instance, you could take the perspective of an international bank subsidiary operating in Argentina; you could take the position of an international bank that lends cross-border to borrowers in Argentina; you could examine the situation from a regulatory or supervisory perspective. You should state assumptions about your bank, for example, whether it is a large or small bank, retail or wholesale oriented, universal, its home country and so forth. Each Report must start with an Executive Summary that includes a recommendation on whether or not to invest in Argentina, and states your assumptions. The Report should consider the following: 1. An economic profile of Argentina and coverage of its recent financial history. 2. Benefits and costs associated with foreign bank entry with reference to Argentina. 3. An analysis of political risks in Argentina (check the news!). 4. An event study analysis on how the market has reacted to the election result. You should estimate market reaction to the primary election result (12 August 2019) and the election proper (28 October 2019). See below for hints and suggestions on estimating an event study. Hints and Suggestions 1. Collect daily data for the Merval index (for Argentina) and the Dow Jones (to proxy the market). Construct daily share price returns as follows:
Analyst’s report on Argentina from the perspective of an international bank