FIN 501 Lecture Notes - Lecture 11: Alphabet Inc., Microsoft, S&P 500 Index
Document Summary
At the start of the stocktrak assignment, our team canadian capital has decided to formulate a strategy that would aim to provide us with a steady gain and avoid the more volatile and riskier investments. With that being said, because the investment was for short term we also had to formulate an academic approach. The approach for the investments initially made was towards companies that were of familiarity for us. Our team decided to invest between 5-10 stocks, to diversify the investments but not over diversify that could possibly counterpoise the potential large gains in individual investments. Therefore, we formed a portfolio of diversified stocks in multiple industries such as technology, medial, banking, consumer and energy. As our initial strategy is to focus on steady growing companies, we decided to spend massively on the two main industries which are technology (with 43. 5% of our portfolio value) and financial sector (32. 1% of portfolio value).
