Macroeconomic Stock Project Essay Example | Topics and Well Written Essays - 500 words

Macroeconomic Stock Project - Essay Examplehe period of investment is dear over a few months so for the portfolio to get a suitable yield, numerous purchases and selling of different stock are through with(p) on casual basis or within a short time period within a week. For example, the purchase of 1363 SouFun Holding (SFUN) share at $74.28 on 2/24/14 leads to a total sale of the same shares on 2/26/14 at $76.31. Essentially a roof sop up of $2.03 per share is made in the process. Hence the strategy of buy low and sell when high works in this scenario.The various stocks mentioned above helps in portfolio diversification by reducing the specific risks of each stock invested. Investment in XUE stocks was stable at $5.79 hence no gain was realized on this situation stock. This can be accounted by very little business acquisition and activity by this caller-up during this period during the trading period. Vipshops holdings (VIPS), however, is bullish, Goldman Sachs involvement in u pgrading this companys business activity has elevated the share price.Weibo Hu analysis has projected a market growth of 0.5% in VIPS apparel subsidiary in chinaware and the credibility of the company signifies potential positive growth in the future. If the portfolio had stocks that had their prices rarely fluctuating within the two days of trading, the trading position is closed. The same was done for stocks that were making capital gains.Just like any real diversified investment portfolio, the well performing stocks like VIPS and SFUN offset the short term capital loses made by bearish stocks like XUE (Xuenda Education) and CCIH (China Cache International).Above is CCIH (China Cache International Holdings) share price being bearish over a terzetto month period of trading. This led to slight losses in the portfolio considering the shares were never held longer than a week.ZEN (Zendek incorporation) stock price rose substantially subsequently the initial public offering. The sha re traded above the $10 mark, but this portfolio however did not