Portfolio from Qatar exchange Assignment Example | Topics and Well Written Essays - 1500 words

Portfolio from Qatar exchange - Assignment Example ty of giving maximum returns, but also include in the investment basket of less risky investment assets, with intent of minimizing the investment loss should one asset suffer poor performance (Daniel et al. 1998). As behavioral scientists suggest, most investors tend to be risk averse and taking this into consideration, I carried out proper analysis of the market before deciding on the best class of assets to invest in. This is done by looking at the historical performance of the desired shares to gain a better understanding and hence forecasting of the possible future performance. In the course of carrying out an investment in the money and capital markets, an investor should be up to date with the market information as it plays a bigger part in determining the equity price movement. Also, in considering investing in the stock market an investor should carry out thorough study of the companies in which he intends to purchase the stocks by paying much attention to its financials, the management and also its future plans. Further, for an investor to realize his investment goal, they should adopt an investment strategy that is consistent with his risk tolerance attitude failure to which a mismatch could otherwise lead to maximum loses. The following set of measurements was conducted to assess the performance of different classes of portfolio. We used these tests to perform Treynor Measure, which helped us decide on the best portfolio select the best portfolio among the six options, which has the lowest risk The best portfolio is one that balance returns with risk. Treynor Measure can be used to measure the success of the successful portfolios, by reviewing both risk and return together. To estimate risk, Treynor Measure takes into consideration the beta coefficient, which measures the volatility of the portfolio to the market (HÃ ¼bner 415). The following formula is used to calculate Treynor Measure: In this case, beta is represented by the standard deviation;

Finance Assignment Example | Topics and Well Written Essays - 1500 words

Finance - Assignment Example joint venture. Sainsbury’s offers food and non-food items at its supermarkets and convenience stores along with that it also operate online grocery store and general merchandise operations. Sainsbury operates almost 1106 stores that includes 583 supermarkets and 523 convenience stores. Company also holds interest in freehold and long lease hold properties and also the properties that come under their joint venture agreements. In its financial services sectors it provides credit cards, insurance, loans and savings advices also relating to energy efficiency at customer homes. Sainsbury also provides selection of movies, music, books, games and other entertainment products (Yahoo, 2013). Sainsbury’s holds almost 18% share of the UK supermarket and is the second largest supermarket chain in the country. Despite the fact that Sainsbury is the UK’s second largest supermarket chain it is the returns that the company offers that would attract the investors and the share towards the company not the quality of the services or the size of company itself. In order to understand how much value is given or created by the Sainsbury to its shareholders and investors it is important that analysis of it’s incomes, returns that it offers, its operations, liquidity position and the growth that it offers in the future is thoroughly made. Thus to get the full understanding cash flow analysis along with its income statement is made to have idea about its liquidity position. Both inflow and outflow of cash in the company is assured through three different activities that the company goes through operating, investing and financing. All three activities of Sainsbury are discussed as follow. Over the past three years Sainsbury’s Plc. have been reporting net income however as analysis of its profit margins are done it is seen that in the current period its profit margins re lagging behind to that of the industry average. It can be said that the company is