This research project focuses on portfolio management, offering a comprehensive analysis of investment strategies. The project begins with a risk and return analysis of eight ASX-listed stocks and the market index, calculating average returns, standard deviations, Sharpe ratios, and correlation/covariance coefficients. It then proceeds to portfolio construction, visualizing the opportunity set and efficient frontier, and recommending two diversified portfolios (A and B) with varying risk profiles. The project further explores portfolios incorporating a risk-free asset and the capital allocation line (CAL), restructuring portfolios A and B to incorporate a risk-free rate and examining the impact on return and risk. Finally, the project provides a detailed investment strategy that meets fund trustee's policy and overall financial goals.
![[object Object]](/_next/static/media/star-bottom.7253800d.svg)
