Analysis of Portfolio Essay Examples

portfolio. Comparison of the Optimized Weights of the Portfolio to the Actual Weights in the First Week As mentioned above, diversification is the key to minimize the risks of a portfolio and also to make sure that the portfolio earns the best possible returns. Due to lack of experience, our first week’s portfolio was not spread across different types of assets. Rather, it solely focused on equities or stocks from different industries. However, since the beginning, we tried to invest in the stocks with the highest earning possibilities. The table below shows the weights of different securities in the first week- Weights of different securities in the first week Rank Security Issuer Stock or...

portfolio managers around the world. Efficient-Market Hypothesis that has been presented by Malkiel has practical implication on the investors. I feel that the purpose of the book is to put more emphasis on the stock investment. The author has categorically stated that there is no way the investors can do better in the market rather than in buying and holding index funds that are in possession of portfolio that consist of all stocks in the market (Malkiel 98). The book has also emphasized on the use of the “new walking shoe” which represent the application of the modern portfolio theory in the portfolio market so as to yield extraordinary profits (Malkiel 408). The book is crucial because it has...