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160 - Investment Planning 4 Buy and hold A Investors hold on to their securities to minimize transaction costs because they do not believe that active management adds any additional returns to their portfolios For bond investing, investors look for vehicles whose maturities (or duration) approximate their stipulated investment horizon in order to reduce price and reinvestment risk B A buy-and-hold strategy should not be confused with a passive strategy With a passive strategy, the asset allocation percentages are maintained over time by rebalancing the portfolio A buy-and-hold strategy does not rebalance a portfolio C The purchase of index funds is an example of a buy-and-hold strategy These funds attempt to match the makeup of an index, such as the S&P 500 5 Portfolio immunization A Immunization allows an investor to earn a speci ed rate of return on a bond portfolio regardless of the direction of interest rates The investor becomes immunized to changes in interest rates over a time horizon B Active rebalancing of bonds ensures that the duration of a portfolio always equals the investor s time horizon C Two methods for immunizing a portfolio: (1) Purchasing a series of zero-coupon bonds whose maturities correspond with the planning horizon (2) Assembling and managing a bond portfolio whose duration is kept equal to the planning horizon The portfolio of bonds must be rebalanced whenever interest rates change D Duration declines more slowly than the term to maturity; if interest rates do not change, a bond portfolio may still need to be rebalanced to correspond to the investor s time horizon Only zero coupon bonds have a duration that decreases at the same rate as their term to maturity 6 Swaps A A swap is a technique for managing a bond portfolio by selling some bonds and buying others with the proceeds, in order to achieve bene ts in the form of tax treatment, yields, maturity structure, or trading pro ts B There are several types of swaps (1) Substitution swap The swapping of bonds with virtually identical characteristics (ie, same maturity, coupon, credit rating, and call and sinking funds) selling at different yields The price difference is viewed as an arbitrage opportunity (2) Intermarket spread (sector) swap This is a variation of a substitution swap It is used when the difference in yield between two markets is excessive An investor may swap a government bond for a triple-A rated corporate bond if the yield is more favorable (3) Pure- yield pickup swap The sale of a low-yield bond and purchase of a igh-yield bond The swap is usually for a bond with a longer maturity or lower quality in order to bene t from a higher yield (4) Rate anticipation swap Seeks to take advantage or avoid the impact of an expected change in interest rates If higher interest rates are anticipated, an investor will swap longer-term maturities for shorter-term maturities; if lower rates are anticipated, shortterm maturities are swapped for long-term maturities (5) Tax swap An investor attempts to take advantage of locking into a loss by selling a bond and buying a similar bond.



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24 Building a Product. Encode Bar Code In Visual . Unfortunately, this process is manual, and therefore prone o errors Manually building a product is fine once or twice, but what if a different person in the company needs to build the product What happens as the product grows and encompasses more plug-ins A product needs a repeatable and reliable method for building it. Maker In .NET Framework Using Barcode generator for .Related: Create Code 128 VB.NET , ASP.NET EAN-8 Generating , VB.NET ITF-14 Generation

a special set of TrueType fonts to encode the space . Microsoft® Excel: Enter in another cell, text data from . the data and apply IDAutomation's barcode font to .Related: EAN 128 Generating .NET WinForms , .NET WinForms UPC-A Generating , Word UPC-A Generating

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This amazing set of tools has a per-desktop price of around $7 to $10, depending on the number of desktops, and so on You just have to have Software Assurance, which is the driver behind the Desktop Optimization Pack (DOP) It s a huge value-add for SA customers, but it s a nonperpetual license; use the Desktop Optimization Pack only while you pay its annual fee, which is possible only while Software Assurance is in effect What Microsoft has done with DOP is give a compelling reason for customers to keep SA or to get it if they don t have it Even small organizations are normally eligible for some kind of SA deal with Microsoft You learned about the server versions earlier in the chapter, and the hardware you run the OS on and the features you need available will lead your purchasing decision If you need failover clustering, purchase the Enterprise ersion of Windows Server 2008.

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Physical servers are expensive in terms of a hardware perspective, rack space perspective, maintenance costs, management costs (for example patching, updating, backing up), and licensing Ideally, you run everything on a single box That s not practical, but there is a middle ground Windows Server 2008 (like Windows Server 2003) has Windows Server Resource Management (WSRM) that allows each application/service to be allocated limits on memory and processor usage with different amounts con gurable for different times of the day This calendaring exibility is useful in the instance of a single server running applications that operate at different times of the day For example, an application server has to have priority over the processor usage during the day but at night is not used because all the clients are tucked up in bed So, a batch-processing service is given 80 percent of the CPU between the hours of 8 pm and 4 am In the event the batch took longer, it could continue running, but after 4 am is limited to only 10 percent of the processor to ensure that the application server gets the resources it needs during the day WSRM gathers accounting type data to track how much resource an application or service uses, which is useful in the scenario where the IT department bills business units based on usage WSRM is a great solution from a number of angles It minimizes the number of servers; you run only one copy of the OS (although WSRM is only on Enterprise and Datacenter editions, so one copy of a quite expensive OS, but still good); and you have one OS to patch and maintain WSRM manages resource contention nicely, but it fails in other areas For example, if an application needs a reboot, so do all the others The applications are also still all on one OS, meaning compatibility issues Because hey are all on one OS, they have to accept the same OS, patch levels, NET version, and so on So, although WSRM solves some problems, it does not solve everything An alternative to using WSRM is virtualization, and you see a lot of detail on this topic in 19, Virtualization and Resource Management A service runs on the server that emulates multiple virtual computers, each with its own allocations of processor and memory, with virtual disks that map to large les on the host server s le system Each of these virtual computers run any OS such as Windows NT 4, Windows 2000, XP, Windows 2003, Vista, and Windows Server 2008 Different solutions exist for virtualization, such as from VMWare; however, this book.

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concentrates on the Microsoft solutions of Virtual PC and Virtual Server, which accomplish a similar goal in slightly different implementations With several virtual environments on a single physical server, you can run multiple virtual server instances totally separate from the others, with their own OS version, service packs, and other components Also each of these virtual machines restarts entirely separate from the others (with the exception of the host server; if the host server shuts down, obviously all the guest OSs also shut down) Consider also that if each virtual machine runs one application or service, compatibility testing is minimized because each service/application is in its own environment and does not share any resources with other services and applications If one virtual machine crashes, the other virtual machines are not affected, so virtualization solves compatibility, OS requirements uptime, and resource con ict It s perfect, right Yes and no Yes, the virtual servers solve the problem areas of consolidation, but remember the reasons for consolidation in the rst place:.

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