Question

I. Create a portfolio report of 10 different stocks from 10 different industries. Each student is given $100,000 to fully invest in the chosen portfolio.

II. Portfolio set up and observation is to be implemented by related Website portfolio programs — Yahoo [finance.yahoo.com], WSJ, etc.

III. The portfolio should represent different industries. Each component stock should be carefully and judiciously chosen, Initial report should include Stock Symbol, Company Name, Stock Price, number of shares purchased, sub-total, and grand total of $100,000 on the first page. The second page covers Stock symbol, 52 wk high/low, volume, dividend amount, dividend yield, p/e ratio, beta, and the reason for your choice.

IV. Final report would include your observations, comments, and any lessons you learn from this project,

Answer 1

First of all for creating the portfolio we need to choosen 10 different industries in which we want to invest within the limit of $100000 by each student.

For Example we have choosen following 10 Industries :-

1) Auto Mobile

2) Accounting Services /BPO

3) Capital goods manufacturers

4) pharmaceutical Industry

5) Logistics Industry

6) Information Technology Industries

7) SPM Industries

8) Steel & copper Industries

9) fast food Industry

10) E commerce

Initial Reports should be shown following Detail of the portfolio :-

1)Stock Name

2)Stock Code

3)Stock Symbol

4)Stock Latest Traded price

5)stock 52 week high / low

6) stock value of turnover

7)stock sensitivity in the market

8) recent news about the company

9) government action or attitude on particular industries or companies

10) perchantage of investment in each stock

11) market situation

12)level of competition in market

13)level growth of industry

14)expertise of KMP of company

15)level of inflation

16)PE ratio of company share with reference to market

17)EPS per share of company share v/s market

18) position of short /long buy /sell

19)Dividend payout ratio

20)market expectations of invester

At the final report we show average return v/s expected return from portfolio and shortfall reasons analysis.