SUMMATIVE ASSIGNMENT
During Epiphany Term you are required to construct a portfolio of assets and manage and monitor its performance throughout the term using the StockTrak Portfolio Simulation software. The investment/portfolio construction period runs from Monday 29th January until Friday 29th March 2024.
An initial fund of $1,000,000 is available to purchase assets (equities, bonds, mutual funds, ETFs and cryptocurrencies). A $10 commission is charged for each trade so more trading will entail greater transaction costs. The total number of transactions is limited to 200 for the simulation period.
You are required to register an individual account on StockTrak for the SIA Summative Assessment 2023-24 (you cannot use the group account allocated as part of the Formative Assessment).
All students should register an account on StockTrak by Friday, January 26th, 2024, following the instructions detailed on Blackboard Learn Ultra.
The assignment will be assessed by means of an individual written report that critically discusses the following:
the nature of the prevailing economic and financial environment that shapes your inves
tment decision-making and the potential impact of these on the performance of the portfolio.
the investment philosophy that underpins the construction of the portfolio
the investment strategy adopted in constructing your portfolio (your investment philosophy and strategy should be carefully distinguished from one another).
the rationale for the allocation of assets between broad sectors and the principles that have guided the choice of individual securities (for example, the application of technical and/or fundamental analysis if your strategy is active in nature).
the performance of the portfolio in relation to a chosen benchmark (and a justification for the choice of benchmark).
the risk/return characteristics of the portfolio using appropriate portfolio performance measures (consideration should be given to the performance of your portfolio in terms of security selection, market timing, and diversification).
the strengths and weaknesses of your investment strategy and how any lessons learned might alter your investment decision-making if you were asked to construct a new portfolio at the end of the simulation period.