Assignment 1: Portfolio Management ,Write a five to seven (5-7) page paper in which you:
Analyze the relationship between risk and rate of return, and suggest how you would formulate a portfolio that will minimize risk and maximize rate of return. Formulate an argument for investment diversification in an investor portfolio. Address how stocks, bonds, real estate, metals, and global funds may be used in a diversified portfolio. Provide evidence in support of your argument. Evaluate the concept of the efficient frontier and how you will use it to determine an asset portfolio for a specified investor. Consider the economic outlook for the next year in order to recommend the ideal portfolio to maximize the rate of return for the short term and long term. Explain the key differences between the short and long term. Use four (4) external resources to support your work. Note: Wikipedia and other Websites do not qualify as academic resources
Homework: Chapter 8: Problems 6(a-c), 8(a-c), and 10(a-c) Chapter 9: Problems 3(a-d), 5(a-b), and 7(a-d)
Discussion : Recommend an alternative to the CAPM for analyzing capital assets. Provide support for your recommendation. Assess the effectiveness of using multifactor models to help investors understand the relative risk exposures in their portfolios relative to benchmark portfolios. Make a recommendation on how investor understanding may be improved. Support your rationale.