Part A (50 marks) You are required to recommend a two-asset investment portfolio from the four assets in each set of stocks. If your group number is an even number, use set 1 to complete Part 1, otherwise use set 2. Set 1 Telstra Corporation TLS:ASX CBA:ASX Set 2 Commonwealth Bank BHP Group Ltd Rio Tinto Limited RIO.AX BHP:ASX CSL Ltd CSL:ASX Computershare Ltd CPU:ASX Wesfarmers Ltd WES:ASX CSL Ltd CSL:ASX 1. Based on your market research, provide a recommendation statement which includes a) which two assets should be chosen to form an investment portfolio, assuming equal weighting for all assets in the portfolio, and give reasons for your choice. b) as a group, how you came to agree on the two assets you have recommended. c) Highlight any opposing viewpoints that were raised by team members before a conclusion was reached. (10 marks) Note that you do not need to perform any calculation to answer this question as the nature of each business should provide you some intuition about the company's future perspective and its riskiness. Set 1 stock code TLS:ASX RIO.AX CLS.AX WES:ASX Date Adj Close Adj Close Adj Close Adj Close 1/1/2016 4.704579 31.17098 97 97539 22.91291 2/1/2016 4.387042 32.08706 96.76955 21.23945 3/1/2016 4.453891 35.20529 95.5637 23.25915 4/1/2016 4.615218 42.51189 99.88745 23.99984 5/1/2016 4.81326 36.85463 109.9351 22.79907 6/1/2016 4.787428 37.52261 106.5352 22.50165 7/1/2016 4.968249 40.87079 112.0624 24.08965 8/1/2016 4.529115 39.25443 102.6605 23.81471 9/1/2016 4.589815 43.06492 101.6159 35.85144 10/1/2016 4.412602 45.2094 96.30583 23.72674 11/1/2016 4.474627 48.18831 93.90081 24.17224 12/1/2016 4.51893 49.98234 96.21001 24.38053 1/1/2017 4.430324 55.63977 107.6027 23.29279 2/1/2017 4.270833 51.7263 112.9301 24.71612 3/1/2017 4.129062 51.66811 120.0876 26.98197 4/1/2017 3.863432 51.65102 127.8647 25.74269 5/1/2017 4.028224 53.67639 124.7199 25.56309 6/1/2017 3.936673 54.06949 133.151 24.01854 7/1/2017 3.753571 56.22305 121.5462 24.38372 8/1/2017 3.359904 57.97493 123.9771 25.51522 9/1/2017 3.329507 58.05928 129.2248 25.76263 10/1/2017 3.377208 60.6075 134.9513 26.05561 11/1/2017 3.272267 61.9165 139.235 38.46868 12/1/2017 3.463069 66.15773 137.2534 27.68878 1/1/2018 3.50123 67.06532 142.2268 27.30856 2/1/2018 3.195945 70.82656 158.4971 25.76263 3/1/2018 3.025949 63.44371 151.0079 26.81866 4/1/2018 3.064496 71.71132 166.4895 28.24477 5/1/2018 2.698298 74.50399 181.6276 29.39986 6/1/2018 2.524836 74.92603 188.2438 31.85204 7/1/2018 2.736845 72.91459 192.1431 31.91651 8/1/2018 2.987401 65.31783 222.1456 33.20072 9/1/2018 3.108344 72.32427 196.5409 33.23504 10/1/2018 3.00116 70.15712 184.8421 31.08159 11/1/2018 2.854999 67.29205 174.4201 29.59376 12/1/2018 2.777047 72.05796 182.0498 30.18395 1/1/2018 3.030392 79.93687 191.4492 30.17458 2/1/2019 3.04988 68.30247 190.5053 31.08328 3/1/2019 3.265924 89.90947 191.6655 33.40897 4/1/2019 3.324947 90.75752 196.4245 34.72026 5/1/2019 3.590549 95.44909 203.2697 35.72301 6/1/2019 3.787292 98.74175 212.6769 34.86489 7/1/2019 3.905337 94.1168 227.139 37.78636 8/1/2019 3.659409 83.34426 238.2674 37.69959 9/1/2019 3.48075 89.06884 231.165 39.15137 10/1/2019 3.460917 87.3484 254.8108 29.11202 11/1/2019 3.827833 93.13447 262.1301 41.67948 12/1/2019 3.5105 96.49846 274.4469 40.72529
