Part One:
you will create a financial portfolio that will track and analyze its performance throughout the course. You need to analyze the market you choose over the length of the course. What economic factors are driving the market? Which markets are the most successful, etc. You can use any of the markets for your analysis. You can use the Dow Jones Industrial Average] and its component stocks (or (Yahoo! Finance]. Click on the Dow and you will see approximately 30 component stocks. Choose at least five stocks to monitor. Chart the closing prices at closing each week for the indices you use (see the Webliography tab for a list of Indices).
The presentation should answer all of the following questions:
1. Chart the closing prices at closing each week for the indices you use.
2. What do you think caused the changes in the market and the indices?
3. What has happened over each week that was consistent with what you have learned about security investments in this course?
4. Did the stock price react quickly to the news?
5. Discuss several different methods or applied techniques using derivatives and the topics learned in this course to reduce volatility or reduce specific risk(s) for equities or indices.
Microsoft® PowerPoint® Presentation Format:
1. Prepare a 10–15 slide presentation excluding the title slide and reference slides. Be sure to have at least 100 words of speaker’s notes for each slide.
2. You may include comments or additional information in the notes section of the slide presentation.
3. The PowerPoint presentation should be in APA 7
4. Include one title slide.
5. Analysis of your five stocks.
6. All references should be included on one or two slides at the end of the presentation.
Part Two:
Write a 4–6 page analysis of your findings of the foreign markets and your portfolio.
Throughout this course you have monitored the markets and presented a PowerPoint® Presentation as part one. Now you will analyze the global and foreign markets as part two.
The final paper should address all of the following questions fully:
1. What economic factors were driving the foreign markets?
2. What do you think caused the changes in the markets?
3. Did you think the markets reacted quickly to the news ?
4. From your part one PowerPoint presentation what was the return on the portfolio and how did it compare to the global markets?
5. Which stocks in your portfolio went up and which went down, and why?
6. How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?
7. Discuss in detail, providing examples, how derivatives could have been used to reduce risk and volatility or enhanced returns addressing specific methods and application examples.