Virtual Trader Assignment 2022

For secinvest we looked at the news and each company’s activities according to them we chose the different stocks:

Auto Trader for used cars as there is a difficulty with new cars

And so on, please check what each stock stands for…..

Also we considered the Ukrainian war, shortages mentioned in the news and unpredictable stocks at the moment as well as companies that have to do with weapons and defence equipment.

For ProInvest we used the formula (CAP) Capital asset Pricing to decide which stocks to buy.

• The Report
  • Title
  • Executive Summary (not included in word count)
  • Table of Contents (not included in word count)
  • Introduction
  • Main Body
  • Conclusions and Recommendations
  • References (not included in word count)
  • Bibliography (not included in word count)
  • Appendices (not included in word count)
  • 3000 words – Use tables and Appendices wisely
  • Critical Analysis of your strategies:
    • Portfolio 1 – Your own strategy
    • Portfolio 2 – The application of the CAPM
  • Analysis of 2 portfolios
    • How are the two portfolios diversified?
    • The investment style employed – active versus passive.
    • Comparing the performance of both portfolios.
  • Analysis of key share price fluctuations
    • Look at historical share price of the stocks you invested in and then analyse the movements.
    • Research both on macro issues and company specific issues will be of importance.
  • Transaction History
  • Performance Graph
  • Comparative Graph
  • What would you do differently?
    • Very important point that is often neglected. You are reporting to your client and the weakness of your investment strategy should be outlined with possible solutions provided.
    • The importance of risk management – which should be in the forefront of your strategies before you think of making a return for your client.
  • Your overall position in the league table will not affect your final grade for the assignment.
  • The KEY issue is letting us know what you have learnt about the Capital Asset Pricing Model and what you have learnt about investing in the Stock Market.