WPS Office ASSIGNMENT 2 GROUP(027473) W Group Assignment.docx + 2 Dollar... Go Premium AA = Menu DOPO Home Insert Page Layout References Review Vw Section Toak Q Click to find commands CA Caibri (Body - - AA- A. AL-AaBbceDd Aanced AaRCod AaBbco Paste copy forms BIU-AX X, A A A [ Delauk Par.. Fool Header List Pa.. Painter BWIT5073 ADVANCED FINANCIAL MODELUNG - New Style Text Tools Find and select " Heplace Settings Student tools Group Assignment 1. You are to select 5 companies for your investment portfolio. In order to get the best portfolio combination of companies for the purpose of diversifying the risk, you have to screen for best companies from 12 sectors in Malaysia. You need to run Markowitz portfolio model for each sector to decide best of the rest securities. Sorne sectors have hundreds companies which is difficult to decide top 20 25 companies to be included in the Markowitz model. I would suggest, run the initial screening via beta computation instead of running the mean-variance model on all of them. Select law beta companies 2. Use 5-year observation dala of companies' share prices. You can choose to use daily, weekly or monthly data for the computation. 3. Run Markowitz mean-variance model again on 20-25 companies from various sector, and suggest 5 best companies for your portfolio based on highest weight allocated to them. 4. Plot the efficient frontier and decide your best strategy on how to allocate your portfolio and explain the reason of the strategy's choice (the portfolio need not be the minimum point of portfolio variance) The report should include: i. Table of contents i. Table of figures Introduction iii. Literature review (Discuss briefly about the model) iv. Methodology v. Finding vi. Analysis vii. Conclusion viii. Recommendation 5. 2 Pogo Nume I Poge: 1/1 Section 1/1 Setvalue: 5.Gin Row: 22 Column Vords: 207 Spel Check 100% 09 30 34C Mostly sunny PEL 9 S w W U: D: 9.34 WAVE 20.00's DO 4 ENG 121 AM 7/17/2021 WPS Office ASSIGNMENT 2 GROUP(027473) W Group Assignment.docx + 2 Dollar... Go Premium AA = Menu DOPO Home Insert Page Layout References Review Vw Section Toak Q Click to find commands CA Caibri (Body - - AA- A. AL-AaBbceDd Aanced AaRCod AaBbco Paste copy forms BIU-AX X, A A A [ Delauk Par.. Fool Header List Pa.. Painter BWIT5073 ADVANCED FINANCIAL MODELUNG - New Style Text Tools Find and select " Heplace Settings Student tools Group Assignment 1. You are to select 5 companies for your investment portfolio. In order to get the best portfolio combination of companies for the purpose of diversifying the risk, you have to screen for best companies from 12 sectors in Malaysia. You need to run Markowitz portfolio model for each sector to decide best of the rest securities. Sorne sectors have hundreds companies which is difficult to decide top 20 25 companies to be included in the Markowitz model. I would suggest, run the initial screening via beta computation instead of running the mean-variance model on all of them. Select law beta companies 2. Use 5-year observation dala of companies' share prices. You can choose to use daily, weekly or monthly data for the computation. 3. Run Markowitz mean-variance model again on 20-25 companies from various sector, and suggest 5 best companies for your portfolio based on highest weight allocated to them. 4. Plot the efficient frontier and decide your best strategy on how to allocate your portfolio and explain the reason of the strategy's choice (the portfolio need not be the minimum point of portfolio variance) The report should include: i. Table of contents i. Table of figures Introduction iii. Literature review (Discuss briefly about the model) iv. Methodology v. Finding vi. Analysis vii. Conclusion viii. Recommendation 5. 2 Pogo Nume I Poge: 1/1 Section 1/1 Setvalue: 5.Gin Row: 22 Column Vords: 207 Spel Check 100% 09 30 34C Mostly sunny PEL 9 S w W U: D: 9.34 WAVE 20.00's DO 4 ENG 121 AM 7/17/2021
