Subject category:
Finance, Accounting and Control
Published by:
Ivey Publishing
Version: 2019-02-13
Revision date: 11-Mar-2019
Length: 10 pages
Data source: Published sources
Abstract
In January 2018, an investment portfolio manager learned of a safety recall for Ford Motor Company (Ford) involving faulty airbags that failed to deploy upon collision. An investigation by US regulators found that the company had been aware of these faulty airbags but had not taken proactive measures to mitigate the potential damage. As a result, in just one day, the share price for Ford dropped from USD13.10 to USD12.18 per share. The portfolio manager needed to anticipate the future of Ford and come up with a plan to protect his investors' wealth.
About
Abstract
In January 2018, an investment portfolio manager learned of a safety recall for Ford Motor Company (Ford) involving faulty airbags that failed to deploy upon collision. An investigation by US regulators found that the company had been aware of these faulty airbags but had not taken proactive measures to mitigate the potential damage. As a result, in just one day, the share price for Ford dropped from USD13.10 to USD12.18 per share. The portfolio manager needed to anticipate the future of Ford and come up with a plan to protect his investors' wealth.



Spanish language
