Question 1

Identify the most recent constituents of the S&P/ASX 50 (XFL) Index. Provide the following information of the constituents:

• Issuer code.

• Company name.

• GICS sector.

• Source of data (link to the webpage).

Question 2

Select 5 stocks from Question 1. Download the monthly adjusted close prices of the selected stocks over the April 2018 March 2022 period.

Note: Monthly adjusted close prices are the prices available on the last trading day of each month, adjusted for both dividends and splits.

1. Calculate the monthly stock returns.

2. Find each stocks average monthly return.

3. Find the variance covariance matrix of the monthly stock returns.