FIN 4504 Trading Simulation

Compared to my peers, I was extremely conservative in my market presence only

conducting four trades in total since the end of April. The companies I chose to invest into were

Netflix Inc, Globant S.A., Apple Inc, and General Electric Co. Generally, all these stocks

performed well in the short span in which I invested into them while Netflix vastly outperformed

all other securities in its performance during the three-month period. With ten shares of the stock

being held at the moment, it is currently sitting at a market value of $4,257.80, the largest market

value in my entire portfolio. The initial price I paid for my shares sat at $399.29 and now it

currently sits at $425.78 as of Friday, July 28th I believe reason as to why this stock performed

so well should be credited to the various changed the company implemented into its business

model. Changes that would drive more users to subscribe to Netflix and success of multiple

shows have really had a positive effect on the company for past year. The elimination of

password sharing and other pricing changes helped Netflix improve it subscriber count

substantially and was one of the main reasons I stated in my explanation of why I decided to

invest into this stock. Due to the previous success in recent quarters, there was little to no risk in

this stock as well and seeing now how well it performed in this period, I believe it would have

been wise to continue to trade with Netflix and hold stock for the future.

Both the Apple Inc and Globant S.A. stocks were purchased based on recent influences in

the technological market and were seen as opportunities to capitalize on emergence of new

technologies such as A.I Apple Inc introduced and Globant S.A. were already dominating the

field in. The use of A.I in the past year has been a hot topic due to its nature in multiple fields. In

different mediums it can be seen as a tool to replicate many things but in the technological field,

it can be described as something similar to the introduction of the internet. Naturally, a giant in

this field such as apple would be the first to look at to capitalize new innovations for future ideas

and releases which is why I decided it would be wise to take a position with the company. The

same can be said for Globant as they have always worked in with software such as A.I and have

worked in tandem with major entities such as Amazon and Microsoft. Both of these positions did

yield a degree of risk as Apple had seen its fair share of lows in the past year with its

underwhelming performance in Q4 of last year and the beginning of this year but has seen a

steady upwards trend with a 12.83% change in price and a high of 196.63 since their yearly expo

this year and its quarterly results in march.

Lastly, my security which was a short for the General Electric Co. Performed very

averagely as I took an extremely safe position with the stock. I initially took a short position with

this stock believing it would not perform as well as it had been due to competition such as ITT

and IAC performing exceptionally better than it had been during that period. Although they

garnered a dividend yield of 0.28% annually, General Electric Co for the most part has been

steady for majority of the second quarter maintaining a positive percentage change of 42.13% in

the past six months. It would have been wise to consider competitors analysis in recent quarters

before deciding upon this security for a short position.

In the end. I believe I have a small successful and safe portfolio with the securities I have

chosen. Some things I would change are the positions in which I took some stock such as the

short stock for the General Electric Co. position I took and some positions, I should have

invested more into such as Apple Inc to yield bigger profits as my portfolio is only yielding

0.21% in return for the trades I made but with a $6,252.40 for the positions I took, I believe my

portfolio is in a good spot.