I need help for this Finance project level Fin 400 classes for senior.

Study case This case will help you get some \"real\" stock investment experience. The write-up submission is due by March 14th. You are welcome to discuss your trading strategy with your classmates, but the final submission must be your own work. Each student is to invest a total of $1,000,000 in portfolios of your own choice and submit an investment report at the end of the quarter. You can trade as many times as you want and trade any securities allowed on the platform. To keep a good record of your trading activity and facilitate class discussion, I require you to make all trade on the trading platform \"Virtual Stock Exchange (VSE)\" You may use any source of information you wish to in order to choose the stocks in your portfolio. For example, you can call a broker, ask a parent, ask a friend, or choose an investment based on advice from financial websites. You are also encouraged to try a different trading strategies, including the ones you will not try with real money. The purpose of this trading game and case write-up is for you to learn as much as possible about investing in security market. By March 14, 2015 you should submit a 2 - 4 page typed summary with the following information/discussion: 1. Report the observed return on your investment during your actual trading period. Also annualize this return and report the annualized return. Note that there are 52 weeks in the year so that if you observe the return over X weeks then you annualize this return by using the formula (1+ return) 52/X -1 where the return is for X weeks. Or, you can use (1+ return)365/Y -1 and input number of days as Y. 2. Report the observed return on the Vanguard Index 500 (Ticker: VFINX) for the same period. Also report the annualized version of this return. Clearly identify both the return for the shorter period as well as your annualized return. You can download historical prices from Yahoo finance or Google finance. From these historical prices you can calculate the return over the quarter. 3. Briefly describe what systematic risk is and how we measure it. Does your portfolio (at the time your report is prepared) have more systematic risk than the market? 4. Report the equity betas for each of your stocks in your account when you prepare this report. Also report which website you obtain these beta values from. Do your securities have more or less systematic risk than the market? Discuss which of your stocks has the most systematic risk in your portfolio. Can you provide intuitive explanation for its high systematic risk? 5. Is your portfolio (when you prepare your report) diversified? Why or why not? 6. Did you perform mocroeconomic/industry/financial statement analysis to make a trading decision? Briefly describe your analysis. 7. What's your main source of information to make a trading decision? 8. What did you learn from this case about investing in the stock market? (I expect at least 2-3 paragraphs for your answer to this question). You may attach supporting materials and analysis to the 2-4 page summary. Such as a trading log, Excel sheet for Beta information, etc. Your grade will NOT depend on how much money you made or lost but on the quality of your report. Thoughtful and well-written summaries will be rewarded with more points than an otherwise similar case.. Trading game link: http://www.marketwatch.com/game/fin475w2015 1 Password: financerocks My Acct: ID: Lequoc315@southseattle.edu Pass: Quocleminh94 Please use my account to seek for more details in transactions. 2 viperboypro@yahoo.com Hoang2394Kumar Consulting operates several stock investment portfolios that are used by firms for investment of pension plan assets. Last year, one portfolio had a realized return of 12.6 percent and a beta coefficient of 1.15. The average Tbond rate was 7 percent and the realized rate of return on the S&P 500 was 12 percent. What was the portfolio's alpha? Solution: Risk free rate of Return on portfolio, Rf = 7% Market return, RM = 12% Portfolio's Beta, = 1.15 Hence, Expected return on the portfolio according to CAPM Model, E(RP) = Rf + (RM Rf) = 0.07 + 1.15*(0.12 0.07) = 0.07 + 1.15*0.05 = 0.07 + 0.0575 = 0.1275 Realized return = = 12.75% 12.6% Hence, Portfolio's Alpha = Realized return Expected return = 12.6% 12.75% = 0.15% (negative)