Essay on Portfolio Analysis and Investment

Portfolio management is an important factor that determines the performance of the portfolio. To perform well in the portfolio, it is not only essential to develop personal investment strategies, but analyzing current financial trend is also vital. Stock Trak is an online portfolio simulation that allows students to try out different investment strategies, and also get a hand on experience in what the real market trading conditions are. By managing the portfolio, I have acquired some new knowledge of investment strategies and also become more familiar with the current market by following closely to the financial headlines.

These decisions may include selling and buying of stocks, bonds, futures, currencies and so on. Stocktrak.com helps to implement the investment decision process as it includes evaluation tools for securities being traded at stock market. The website provides graphical historical performance of stock prices and this graphical performance can be analyzed for making different investment decisions related to those stocks. This project will be investing the given specified amount in a portfolio. The portfolio investment will help to reduce the level of risk associated with investment. With the reduction in level of risk, the average return of portfolio investment will increase as compare to individual investments. Thus, portfolio investment is better option for investment as compare to individual

With Reference to this statement, describe, discuss and illustrate the principles of portfolio theory. Your essay should include coverage of the Markowitz Efficient Frontier and the Capital Market Line.

Horizontal analysis allows side by side comparisons on a year to year basis to determine the performance from one year to the next. The company decides on standards to compare the results of the analysis. Standards are researched by checking competitors, internet research of general industry guidelines or standards created from past experience in the company.

Our approach is an active security selection with passive asset allocation. We invest heavily in common stocks, but vary our holdings to include companies of all sizes and industry groups. We seek to achieve sufficient diversification by abstaining from investing more than 5% of the total assets in a single security unless it has significant upside potential, and we make an exception for ETFs and index funds as they represent a basket of securities. Our main goal is to identify and invest in common stocks with high potential for both short- and long-term capital appreciation. Our secondary goal is to invest in common stocks with steady income. When potential for rewards are high, we also enter into derivative

For the three consecutive days of teaching reading and writing, the student will complete a mini portfolio to prepare for student teaching portfolio expectations. For this assignment you will be required to:

The Australian department store sector has undergone significant change over the past decade. The discount department store is increasingly competitive. Financial crisis has resulted in higher unemployment rate and lower consumer sentiment, effecting retailing sales. However, these negative events have been partially offset by the Federal Government’s economic stimulus package and reduction of official interest rates. In non-food industry of Australia, there are restrictive property and zoning laws, causing barriers for entrants. The leading retailers such as Myer and David Jones have great brand identification and customer loyalty. Their large scale and mature supply chains ensure their cost

The framing effect explains how a problem's phrasing can effect an individual's decision making. When the problem asks if you would be willing to make a gamble where you have a 90% chance to lose 5 dollars and a 10% chance to win 95 dollars, most people say they would not take the gamble (which means they are risk adverse) because the problem states that you have a chance to lose 5 dollars, and this creates a psychological response in the participant because they naturally want to avoid losses.

People tend to be risk averse for gains (positive frame) and risk taking for loses (negative frame). When problems are presented in both frames, many people are able to recognize the equivalence of the problems. They are therefore able to pick an answer that is consistent with their initial answer. However, this is not the case with all problems. While some frames are easier to detect, other frames are harder to detect. This is because all framing problems not created equal. This difference observed in framing problems can be approached in a strict and loose sense. In a strict sense, the pairs of problems presented must include an exact same situation. Where as, pairs of problems aren’t exactly the same in a loose sense, although they may be from the prospective of economic theory (Frisch,

I collaborated with Ryan and Michael to work on this white paper portfolio. It is not easy to complete the white papers even though we have been working together for several times. Initially, we conducted research on 3 different products- self-driving cars, Google glass and Alpha Go. We put our comments on each items on Google doc so it can be shared and revised in real time. It was a really good start. It did not take a long time for us to reach an agreement on writing the self-driving cars. The most effective part of the work is building the content for the first white papers as Ryan is an expert in automobile and he did most of the writing. Michael also contributed a lot to the second white papers. I am responsible for the visual design and writing the second half of the white paper on white paper. We set up a meeting after spring break, which helps us get most of the work done (80%). Meeting face-to-face is an effective way of

For this assignment, use the Internet to research high-risk investment brokerage firms that have been indicted or convicted of ethical violations to provide insight and understanding of this market segment.

For the month of December, I was given an assignment consisting of $100,000 and four stocks to invest in. My four stocks were The Ralph Lauren Corp., Visa Inc., Master card Inc. and The Chevron Corp. As stated I was given a month to record my data and I ended up with a total capital gain of $5,518.36 for the one month period for my investments. I have to thank you Mr. Acker, this project was not difficult, but it did confuse me. Receiving this assignment scared me in a way, because I didn’t know what I was getting into. The finance world is scary and tricky, one minute the market is doing good and other days it would be low. While calculating my capital gains or losses I thought I would lose a larger

Prospect theory is an important alternative descriptive theory for decision-making under unreliable situation (Kahneman and Tversky 1979), which includes real life selection and psychological analysis between choices that involve risk. Prospect theory, which efforts to explain individual make decisions between risky replacements based on the value of potential gains and losses (Wakker 2010), advanced from expected utility theory, which explains that investors want to maximize expected utility of wealth when unclearly situations (Blavatskyy 2007). According to Kahneman and Tversky (1992), more recent researches perceived nonlinear preferences in choices that do not involve definite events in prospective theory. The concept of framing effect refers description invariances (Kahneman and Tversky 1992). To be specific, individual always makes the same decision in identical choice conditions. Also, decision makers have tendency to

According to the CAPM model:R_i=α+βR_m+ε, α represent the abnormal return gained by the portfolio. If the market is efficiency, the α has to be zero.

What type of financial investments would you invest in if you were given 10,000 dollars, what made you choose these investments, as well as; how did your choices affect your decision as to tracking these financial investments through the usage of financial strategies and trends. While finding the right pecuniary investment to finance in is never an easy decision, one must first do their research as to what type of financial resources are available on the market to invest in; then apply those financial decisions and strategies to their financial market plan. Let’s begin with what a financial market does, “financial markets perform a vital function: they transfer funds from savers (individuals and organizations willing to defer using some