Portfolio Reports

For your second assignment you have to build your portfolio in our stock market game. (Link: https://app.wallstreetsurvivor.com/league/BUMETAD717A1)

When you submit your writeup, please also include your user name in the league.

(The portfolio of three stocks I built in this game is in the picture of this question.please based on my portfolio I choosed!)

Part of building your portfolio is writing a three-page report detailing and describing your philosophy. Discuss how you have allocated your funds across asset classes (bonds, stocks, as well as countries or economies) and the reasoning behind this allocation. Further describe how you have selected your securities, i.e., why have you picked the ETFs or stocks you have picked, etc. The paper should describe your investment goals and the strategy which you’re pursuing to achieve these goals. Use the mutual fund sheet for reference if needed, for example to classify investments into growth vs. value, or small vs. big. You need to elaborate on your risk management; for example, how is your portfolio hedged against market downturns etc.

For three of your stocks, additionally analyze their annual Sharpe ratio for the period from 2015 to 2018. That means you download the daily stock prices for these three stocks, then you calculate the daily returns. From this information you find the expected return and standard deviation. Remember: the annualized expected return is 252 times the average daily return, and the annualized standard deviation is square root of 252 times the standard deviation of the daily returns. include the results in your report.

I am looking forward to seeing your portfolio and reading about your reasons for picking the stocks in it!