3-Portfolio Case Written Assignment Project

The 3-Portfolio Case Project Term Papers is designed to illustrate field knowledge and experience is applied in the term-long case study. Students will construct three, investment portfolios during week one of the course -

(1) an actively selected portfolio (P1)

(2) a randomly selected portfolio (P2)

(3) a passive portfolio (P3)

Each of the three portfolios will contain four common equity stocks of 100 shares each (400 shares). In other words, the total number of companies to be analyzed in the 3-Portfolio Case Project is 12 companies and 1,200 shares of common stock. The transaction cost for buying and selling shares is $15 and should be included in your analysis.

Week 1: Students select four companies and purchase 100 shares for each of the three portfolio. The purchase prices are recorded on the attached Stock Tracker Spreadsheet. Please include the reason you selected each company. Additionally, did you create and use an investment policy statement? If so, what is your investment philosophy?

Week 2: Students record the ending price of all stocks in P1, P2, and P3 each Friday at 4:00 PM EST., Stocks in P1 can be traded at any time the market is open. Record the transaction costs of any trades. Use the attached Stock Tracker Spreadsheet to record prices, stock sold and stocks purchased.

Week 3 to Week 6 are the same as Week 2. Use the attached Stock Price Tracker Spreadsheet to record stock prices. Monitor the portfolios and collect end-of-the week price data

Week 7: On Friday at the closing bell, sell all securities. Record the ending prices. Use the attached spreadsheet template included below to assist you in your analyses, interpretations, and conclusions about the 3-Portfolo Case Project. (See Portfolio Construction and Data Management for more information.)

Week 8: Submit your 3-Portfolio Case Project Term Paper. The Term Paper must be a minimum of 12 to 15 double-spaced MS Word formatted pages plus exhibits, related documentation (e.g., tables, charts, reports, etc.), and at least four appropriate supporting references. It should include an abstract or executive summary of around two hundred (200) words. The written 3-Portfolio Case Project Written Report is evaluated using the Grading Criteria listed below.

Helpful Articles:

1) Active vs passive portfolios

2) Portfolio performance evaluation methods

3-Portfolio Case Written Assignment Written Report

This report must be a minimum of 12 to 15 double-spaced MS Word formatted file plus exhibits, related documentation (e.g., tables, charts, reports, etc.), and at least four appropriate supporting references. It should include an abstract or executive summary of around two hundred (200) words. The written 3-Portfolio Case Project Written Report will be evaluated based on the following criteria:

Portfolio Construction and Management- Data Collection

State the objectives for the construction and management of each of the three (3) portfolios.

This includes your policy statement, strategy, asset allocation, and industry analysis.
Implementation and application of specific and well-articulated portfolio management strategies; portfolio design, security selection criterion, initial and final Portfolio.

Show time series record including, price, value, cash, return, cumulative wealth, and profit and loss table with discussion.

Development and utilization of investment management tools: including online stock screeners, research tools and information, correlation, etc. Demonstrate an understanding of portfolio construction and management concepts.

3-Portfolio Case Evaluation and Assessment - Written Paper

Provide explanations of the linkages between investment strategies and assets selected for inclusion in the portfolio (i.e., Why were specific securities purchased?)

Risk return analysis; return on investment and expected rate of return; variance and standard deviation

Relationship between returns and market portfolio; characteristic line and beta factor; residual variance; correlation and coefficient of determination

Portfolio theory; Markowitz portfolio theory; expected rate of return and risk of portfolio; capital asset pricing model; market efficiency theory

Research sources and significance of research information and data, use of APA citation and URL links

Note: For an easy-to-understand MS Excel template to assist you in evaluating the three portfolios

3- Portfolio Case Study Quantitative Analysis and Critical Thinking - Summarization

Accurate computation of statistics, use of quantitative methods, utilizing professional analyses and critical thinking; when comparing and contrasting the 3-portfolios.

Active versus passive portfolio management

Strategic versus tactical asset allocation

Portfolio performance measures

Observations of the 3-Portfolio Case Study

Attachment:- Portfolio Case Study.rar