--%>
Assignment Help - homework help

Analysis On Financial Indices

On a weekly basis, starting from week ending on 18/1, you need to produce a weekly performance report of the major indices around the world following this structure: 

Currencies
a. USD vs Yen, vs GBP(GBP/USD), vs. Swiss Franc (USD/CHF)
b. Euro vs USD, Yen, GBP, Swiss Franc
c. US Dollar Index

DELIVERABLES

Analyze US Dollar Index, the concept of cost of carry, future contract specifications for WTI, Gold via CME Group site.

1. For each index, calculate weekly, Year-to-Date, 12-month(rolling) returns, 3Y CAGR & 5Y CAGR (in case you cannot find the data from the web or Datastream just skip the respective index)

2. Calculate the average annual returns, standard deviation and the cross-correlations for as much from the above indices/asset classes for the following periods:
a. JAN 2007- DEC 2009
b. JAN 2010- DEC 2012
c. JAN 2002- DEC 2012
using i) daily or weekly and ii)monthly data

3. Plot the average returns (y-axis) and standard deviations (x-axis) for the period JAN 2002 - DEC 2012

4. Given the above results, which of these indices/asset classes would you be most / least interested investing in?

5. How do you explain the differences in the correlation figures?

6. Describe briefly each index / asset class from the ones in the list above.

  • Add the definitions of all indices, # of companies/countries included 
  • Weighting method: price weighted, value-weighted, equal-weighted 
  • top 5 of companies/countries in the basket/index - whenever you have access to constituents/members. 
  • Briefly analyze the structure and potential advantages for each index/asset class 
  • List at least one (1) Exchange Traded Fund (ETF) that you could invest in so that to track each one of these indices. 

7. Monitor major headlines and be ready to discuss the direction of the markets from week to week. The 2013 Outlook reports provided you with the key factors / themes that will be influencing the markets this year.

 

 

 

 

   Related Questions in Finance Basics

  • Q : What is Non-governmental Cost Funds

    Nongovernmental Cost Funds: For lawful basis purposes, employed to budget and account for revenues other than common and special taxes, licenses, and fees or some other state revenues.

    		•
  • Q : Describe the fact of common

    Normal 0 false false

  • Q : Riskiness of portfolio with very low

    What happens to the riskiness of portfolio if assets along with very low correlations (even negative correlations) are combined? How successfully diversification decreases risk based on the degree of correlation among the two variables in questi

    		•
  • Q : Define Reimbursements Reimbursements :

    Reimbursements: The amount received as a payment for the cost of services executed, or of other expenditures made for, or on behalf of, other entity (example, one department reimbursing the other for administrative work executed on its behalf). Reimbu

    		•
  • Q : Shares Assignment Mina Patel has seen

    Assignment Mina Patel has seen attractive advertisements for Dixons Retail plc and its UK-based brands. She is also aware of the intense competition between retailers of electronic and electrical goods, at a time of global economic uncertainty. Mina has recently inherited several thousand pound

    		•
  • Q : Influence of mergers and acquisitions

    What influence has mergers and acquisitions had on a customer's access to branches?A branch closing that has resulted from a merger require not necessarily mean a lost relationship. The cause a branch closes is usually the presence of a nearby b

    		•
  • Q : What is Out-of-State Travel blanket

    Out-of-State Travel (OST) blanket: The request by a state agency for Governor’s Office approval of the proposed out-of-state trips to be taken by that agency’s personnel throughout the fiscal year.

    		•
  • Q : What do analyze in pro forma financial

    Normal 0 false false

  • Q : Explain Generally Accepted Accounting

    Generally Accepted Accounting Principles (GAAP): The accounting rules, principles, conventions, and procedures which are employed for accounting and financial reporting. The GAAP for governments are put by the Governmental Accounting Standards Board (

    		•
  • Q : Describe Reappropriation

    Reappropriation: The expansion of an appropriation’s accessibility for encumbrance and/or expenses beyond its set annihilation date and/or for a new point. Re-appropriations are usually authorized by statute for 1-year at a time however might be

    		•