International Investment Portfolio Analysis

This assignment delves into the complexities of international investment by analyzing four distinct portfolios. Students examine stock market trends, price variations, and currency exchange rates to evaluate the effectiveness of each portfolio. The analysis highlights the risks associated with international investing and emphasizes the importance of thorough market research for informed decision-making.

INTERNATIONAL
INVESTING PROJECT

Table of Contents
INTRODUCTION...........................................................................................................................1
List of portfolio...........................................................................................................................1
1. (A) Percentage increase or decrease in stock price of companies...........................................2
b. Analysis of portfolio performance done on the basis of weekly data.....................................5
2. Determination of performance of every Australia-based MNCs ...........................................6
3):a. Analysis of performance of foreign stock by the corresponding market............................9
b): Evaluation of foreign stock prices relation..........................................................................10
c): Analyse foreign stock performance in comparison with Australian market .......................11
4). a) & b) Review annual report about Australia-based MNCs ..............................................12
5). a & b: Determine the stock performance of companies......................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
International investing projects are one of the vital strategies that consists of selecting
global finance instruments as essential parts of an investment portfolio. Individuals often try to
invest globally to a wider diversification and distribute investment risk in between foreign
market and other companies (Naudeau and et. al., 2012). This particular project report is
providing necessary information about the financial plan in various projects. It can be useful in
order to mitigate some systematic risks which are associated with the national economies.
Evolution is done at the end of each week to identify performance of companies. The
fluctuation in the stock prices can affect the growth up to a extent which is determine under this
project. Price movement can be analysed by using various price index from the stock market.
The reviews collected from annual report of company are identified for the purpose of taking
valuable decision for making a better future.
List of portfolio
Australia-based MNCs
Name of Firm Ticker Symbol
Amount of your
investment
Price per share at which
stock are buy17, November,
2017
ALS Limited
ALQ.AX $10000 8.14 AUD
Wes- farmers
Limited WES.AX $10000 43.04 AUD
Foreign Stocks (ADRs)
Name of
Firm
Ticker
Symbol
Country where
company is based
Amount of your
investment
Price per share at
which stock are
buy17, November,
2017
BHP Billiton BHP.AX US base $10000 27.41 AUD
Benitec
Biopharma
BJ9.SG US and Australia-
Based
$10000 2.62 USD
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Limited
1. (A) Percentage increase or decrease in stock price of companies
It is always a positive feeling and essential for portfolio value. The share price of a stock
would be goes at higher in total value (Madura, 2011). As an investor, it is more important to
keep up total percentage profits on various stock prices. Evaluating the percentage can help in
increasing an inventory in a fast and easy manner .
Weak 1
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 8.05 7.26 -9.8136645963
One of the top looser
company in 1st week.
2.Wes-farmers Limited 42.55 43.21 1.5511163337 Positive growth
3.BHP Billiton 27.12 27.97 3.1342182891 Average
4.Benitec Biopharma
Ltd 0.11 0.12 9.0909090909
High as compared to
others companies.
Week 2
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 7.26 6.86 -5.5096418733
It is still at lower
because of minimum
profit.
2.Wes-farmers Limited 43.21 43.89 1.5737097894 Moderate results
3.BHP Billiton 27.91 27.58 -1.1823719097
The growth
performance is lower.
4.Benitec Biopharma
Ltd 0.12 0.13 8.3333333333 Consistency in growth
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Week 3
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 6.86 7.08 3.2069970845
The performance has
improved in 3rd week.
2.Wes-farmers Limited 43.89 43.98 0.2050580998 Neutral performance
3.BHP Billiton 27.58 27.17 -1.4865844815 Negative growth
4.Benitec Biopharma
Ltd 0.13 0.12 -7.6923076923
Drastically downfall
because of decreasing
value.
Week 4
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 7.08 6.85 -3.2485875706
It's gain goes down
because of decrease in
stock value
2.Wes-farmers Limited 43.98 44.59 1.3869940882
It is in positive with the
rise in stock price.
3.BHP Billiton 27.17 27.71 1.987486198 Constant
4.Benitec Biopharma
Ltd 0.12 0.13 8.3333333333 Top most position
Week 5
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 6.85 7.15 4.3795620438 It jumped to higher
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growth in the market
2.Wes-farmers Limited 44.59 44.22 -0.8297824624
Value goes down
because of price
downfall
3.BHP Billiton 27.71 29.1 5.0162396247 Moderate growth rate
4.Benitec Biopharma
Ltd 0.13 0.12 -7.6923076923
Goes at the lower and
make huge impact on
the market
Week 6
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 7.15 6.99 -2.2377622378
The performance comes
in negative because of
fall of stock price.
2.Wes-farmers Limited 44.22 44.42 0.4522840344 Constant
3.BHP Billiton 29.1 29.57 1.6151202749 Decrease in stock price
4.Benitec Biopharma
Ltd 0.12 0.13 8.3333333333
Highest ever growth
and performance
Week 7
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 6.99 7.26 3.8626609442
It becomes positive in
the market.
2.Wes-farmers Limited 44.42 44.56 0.3151733453 Constant
3.BHP Billiton 29.57 30.58 3.4156239432 Constant
4.Benitec Biopharma
Ltd 0.13 0.14 7.6923076923 Balance in the market
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Week 8
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 7.26 7.29 0.4132231405
Neutral performance
because of decrease in
price
2.Wes-farmers Limited 44.56 43.73 -1.8626570916
Negative impact on the
market
3.BHP Billiton 30.58 31.53 3.1066056246
Became more effective
from the last week
4.Benitec Biopharma
Ltd 0.14 0.15 7.1428571429 Constant in growth rate.
Week 9
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
1. ALS Limited 7.29 7.26 -0.4115226337 Low market share
2.Wes-farmers Limited 43.73 43.72 -0.0228675966
Minimum growth
chances
3.BHP Billiton 31.53 30.69 -2.6641294006 Negative impacts
4.Benitec Biopharma
Ltd 0.15 0.14 -6.6666666667
Huge downfall in the
market prices
Week 10 till 23rd
January, 2018
Name of company
Stock price
at end of
the weak
Stock price
at the next
Friday
Percentage
change in stock
price Primary reason
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1. ALS Limited 7.26 7.29 0.4132231405
Balance in the market
because of constant
price
2.Wes-farmers Limited 43.72 43.86 0.3202195791 Moderate changes
3.BHP Billiton 30.69 30.79 0.3258390355
Neutral balance rate of
growth
4.Benitec Biopharma
Ltd 0.14 0.14 0
No impact because of
same price in the stock
market
b. Analysis of portfolio performance done on the basis of weekly data
From the above data collected from various companies, it has been found that
performance of companies is fluctuating according to the market prices. The portfolio of ALS
Ltd company is varies more as compare to other organisation. There is negative impacts on the
market growth and there own profitability (Rakodi, 2014). It is done because of increase or
decrease in the price under stock market. An effective assessment of activity is one that assist
attainment of all the goal which are being set in order to attain there objectives.
Evaluating investment performance:
In order to select the best option for the purpose of making investment. It is necessary to
have perfect analysis of the market trend and current prices which is listed in the stock market.
The role of investors is to look effectively into the price fluctuations to attain progress toward
attain of goal that are set by the company (Evans, Giordano and Clayton, 2012). Basically,
progress is said to be all those portfolio value which is constantly increasing, even though more
than one of the investments are having very minimum value. If the investment is indicating any
profit or downfall in account value. It is essential to examine current trend and make there next
move for the further planning. In addition to this, because of investment in market changes in
every time (Picciotto and Weaving, 2013). The investors use to create more opportunities to
make proper improvement in diversify portfolio into various sectors of the economy.
Performance analysis:
Often, the inventory price of the company is the common in few similar sectors. It will
move according to the increase in rate of prices. It is all because of market situation which is
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generally, affect companies performance those are dealing in the same business line. The growth
and stability of each company's is getting high and low because of price variation. Every week
the results are changes because of stock market alteration.
 Bull market is consider as strong market where every time stock changes are increasing
and investor starts growing their point of interest in the market. In week 7, for each
market the performance is in positive which is perfect enough for the investors to make
there valuable decision (Gitman and et. al, 2015).
 Bear market is term as weak market in which stock price are decreasing and at that time
investors are at certain risk whether to making investment in the company's portfolios. In
Week 9, there is fluctuation in the stock prices that results in negative impacts on the
growth and financial position. It will be consider as very risk portfolios to make certain
investment planning.
2. Determination of performance of every Australia-based MNCs
Symbol Name Last price Market time Change % change
ALQ.AX ALS Limited 7.29 4:10PM AEDT -0.04 -0.55%
BJ9.SG
Benitec Biopharma
Ltd. Register 0.137 8:10AM CET 0.007 5.39%
WES.AX Wesfarmers Limited 43.86 4:11PM AEDT 0.09 0.21%
BHP.AX BHP Billiton Limited 30.79 4:10PM AEDT 0.01 0.03%
Interactive chart on the selected portfolios of a company's:
ALS Ltd (ALQ.AX):
7

Benitec Biopharma Ltd. Register (BJ9.SG):
Wesfarmers Limited (WES.AX):
8

BHP Billiton Limited (BHP.AX):
According to the Interactive charts prepare by using data of stock prices which are
collected from 10 weeks time. The movement in the prices are seen from the previous year in
9

November months of 17th. The price of ALS Ltd company's performance is much lower as
compare to other company's. The Performance of wes-farmers is more effective because of
prices value in the market. The growth line is much higher with positive indication of future
growth chances. The Interactive chart is providing similar kind of outcomes as compare to Wes-
farmers Ltd.
The market prices is open with low rate then its started to climb at faster rate but after
reaching to a certain point, it get started to decline. But the market trend is much positive and
reliable for investors because of return they are getting in present time. Likewise, Benitec
biopharma Ltd is not having sufficient amount of results according to the chart. It has been
showing continuous fluctuation in the prices and stock value of their shares (Giordano and
Clayton, 2012). According the Australia-based market condition the stock prices of the
company's are varies accordingly. Because of which decision can be made after for investment
purpose.
3):a. Analysis of performance of foreign stock by the corresponding market
From the above foreign market analysis, the graph is present by using three month data of
the stock price of Foreign trade stock exchange as well as Australia stock exchange. In the
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month of November there is very low market growth as it is observe in red colour bar. The lines
are moving around at common place because of downfall. Going further, in next month the price
are mush higher and sufficient enough for the investors to make their valuable investment
planning. After that there is slight fluctuation which results in devaluation of share prices.
It lead to higher rate of risk for the people those are trying to make investment the various
portfolios. After making proper evaluation, it has been observe that performance of FTSE market
is much more strong as compare to ASX stock market. The changes are evaluated from initial
time till now (Minakova, Bukreeva and RUSSIA, 2013). In present scenario, it has been very
high in terms of price with ASX. In order to make maximum profit the best place to invest
amount is in FTSE market. As they are providing more positive return and growth to various
investors.
b): Evaluation of foreign stock prices relation
Stock market statistics
Open 7730.8
High 7739.4
Low 7703.7
Close 7715.4
Volume 730.17m
% change 4.53%
From the above charts, it has been seen that foreign market prices are fluctuating at every
point of stage. Correlation is a statistical measure that helps to analyse movement of assets in
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relation to each other (Yahoo finance, 2018). It can be helpful for individual stock market, or it
can evaluate high market fluctuation. At the time of high volatility, stock would have a tendency
to become more correlated with various prices in other sectors. It has been also seen that foreign
market is more correlate during the time of instability. Maximum of investors use to include in
their portfolios assets those are having very low relation with stock market trend in order to
hedge risk. The market is open with 7730.8, it increases at very faster rate with high rate of
impacts. The FTSE is responsible to control trends in the stock market. It has been perfectly use
in order to gain perspective on the nature of larger market. It was very hard to select those stock
price that outperform during the period of time. It was related with various stock prices which
are change as per the diversification of chosen portfolios.
c): Analyse foreign stock performance in comparison with Australian market
S&P/ASX 200 (^AXJO)
From the above project report, it has been seen that the performance of foreign stock
market is much more volatile as compare to Australia-based market. Because the price open in
ASX is about 5969.90 which is very low. In respect to foreign market which is having starting
bit prices of stock is more high with 7730. If investors are planning to invest their capital to earn
maximum profit. The best option is to invest in foreign market rather than Australia-based
portfolios company's. The balance under stock prices is more effectively determine by protecting
there portfolios investments through using certain caps. The Australia market is not able to
generate maximum return which have been seen in the performance of BHP billton and ALS Ltd
company's. It is necessary to have right option for getting more effective and healthy return so
that profitability can be increase for further expansion.
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4). a) & b) Review annual report about Australia-based MNCs
BHP Billiton Ltd is operated in mainly four segments such as Petroleum, copper, iron
and coal. It is known as world's largest resources delivering company. There are around 60000
employees and contractors those are form Australia and America (Currency converter, 2018). Its
products are sold internationally, through sales and marketing lead to Singapore and Houston,
US.
The Financial stock valuation is done in US$. If they need to export there products and
services they need to make convert Australian dollar (AUD $) into US$.
With the prices of 0.79 US$, they need to pay 1 AUD $.
Date Closing price of stock US$
24th November, 2017 27.97 22.44
1st December, 2017 27.58 22.12
8th December, 2017 27.17 21.8
18th December, 2017 28.25 22.66
From the above information, it has been seen that with different stock prices collected
from historical data the impacts are clearly on foreign currency in US. The exchange rate for
paying products those are being exported to US at the rate of 0.79.
The other company of Australia-based MNCs is Wesfarmers Ltd which is associated in
retail, coal mining and production (van Zyl, 2015). There are operation are expanded into plenty
of countries such as New Zealand, UK and mostly in Australia. In addition, the company is
related with the supplies of building material to various nations.
Prices of 0.57 British pound = 1AUD $
Date Closing price of stock UK$
24th November, 2017 27.97 17.13
1st December, 2017 27.58 15.76
8th December, 2017 27.17 15.53
18th December, 2017 28.25 16.14
13

On the basis of four week performance with historical data of closing stock prices of
those products which are being exported to UK. The prices fluctuation in the currency rate is
of .50. In that situation, they need to pay very less in terms of UK pounds. It has been observe
that with the increase in stock prices the rate of prices is decreasing in UK currency.
5). a & b: Determine the stock performance of companies
In case of Altus Strategies plc (ALS.l)which is known as one of the largest and analytical
service provider. They are dealing in laboratory testing services for life sciences. As a perfect
producer of soap and chemical manufacturer which is listed on ASX. The stock performance are
not so effective as compare to other companies. The project portfolios is expanded in various
parts of the nations such as Cameroon, Ethiopia and Liberia etc.
Date Closing price of stock UK Pounds
24th November, 2017 8 4.47
1st December, 2017 8.25 4.71
8th December, 2017 8.25 4.71
18th December, 2017 8 4.47
29th December, 2017 8.25 4.71
10th January, 2018 7.75 4.43
According to the information provided above are recorded on the basis of stock prices
performance of ALS. They are dealing there regular transaction in UK currency. For which they
need to bear 0.57 for 1 AUD$. The performance is much more consistent with the price
fluctuation.
Unilever is an foreign company which is dealing in one of the largest producer of
consumer goods. There are performing at very faster rate in every parts of the nation. The
company operates through home care, foods and other necessary segment.
Unilever PLC (ULVR.L): These are dealing maximum of there transactions in Gbp.
Date Closing price of stock GBPounds
24th November, 2017 4261 2434.08
14

1st December, 2017 4115 2350.67
8th December, 2017 4181 2388.38
18th December, 2017 4210 2404.94
29th December, 2017 4125 2356.39
10th January, 2018 4008.5 2289.55
The performance is more effective as compare to Australian stock market. The exchange
rate currency is paid by foreign company's is about 0.57 for 1 AUD $.
CONCLUSION
From the above project report, it has been found that international investment is more risk
and tough plan for investors. They need to analyse stock market situation to determine prices
variation. For this purpose, above mention four portfolios are being used to analyse perfect
market or company is better for making necessary investment. The research consists of various
information regarding price of stock and currency in which they are exchanges. The overall
analysis is presenting more effective results that are useful for making decision about current
trend of market situation.
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