FINN3021
Security Investment Analysis
Undergraduate Programmes 2023/24
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 investment 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.
The discussion should be underpinned by appropriate academic and practitioner literature throughout.
Please note, the assignment will be assessed based on your written report and not on the performance of your portfolio over the investment period.
Overall word limit: 3500 words
SUBMISSION INSTRUCTIONS
Your completed assignment must be uploaded to Blackboard Learn Ultra
no later than 12:00 midday on 22 April 2024.
The assignment should be submitting using one of the following file types: .doc, docx or .pdf
A penalty will be applied for work uploaded after 12:00 midday as detailed in the Student Information Hub. You must leave sufficient time to fully complete the upload process before the deadline and check that you have received a receipt. At peak periods, it can take up to 30 minutes for a receipt to be generated.
Assignments should be typed, using 1.5 spacing and an easy-to-read 12-point font. Assignments must not exceed the word count indicated in the module handbook/assessment brief.
The word count should:
§ Include all the text, including title, preface, introduction, in-text citations, quotations, footnotes and any other items not specifically excluded below.
§ Exclude diagrams, tables (including tables/lists of contents and figures), equations, executive summary/abstract, acknowledgements, declaration, bibliography/list of references and appendices. However, it is not appropriate to use diagrams or tables merely as a way of circumventing the word limit. If a student uses a table or figure as a means of presenting his/her own words, then this is included in the word count.
Examiners will stop reading once the word limit has been reached, and work beyond this point will not be assessed. Checks of word counts will be carried out on submitted work, including any assignments or dissertations/business projects that appear to be clearly over-length. Checks may take place manually and/or with the aid of the word count provided via an electronic submission. Where a student has intentionally misrepresented their word count, the School may treat this as an offence under Section IV of the General Regulations of the University. Extreme cases may be viewed as dishonest practice under Section IV, 5 (a) (x) of the General Regulations.
Very occasionally it may be appropriate to present, in an appendix, material which does not properly belong in the main body of the assessment but which some students wish to provide for the sake of completeness. Any appendices will not have a role in the assessment - examiners are under no obligation to read appendices and they do not form part of the word count. Material that students wish to be assessed should always be included in the main body of the text.
Guidance on referencing can be found on Durham University website and in the Business School Students SharePoint Site.
MARKING GUIDELINES
Performance in the summative assessment for this module is judged against the following criteria:
· Relevance to question(s)
· Organisation, structure and presentation
· Depth of understanding
· Analysis and discussion
· Use of sources and referencing
· Overall conclusions