finance portfolio and report project

Portfolio Projected-related Assignment II

In Assignment I, you downloaded the S&P 500 Index points from Yahoo!Finance and calculated the annual rates of return over the last twenty years. In this assignment:

· Please randomly pick two common stocks which have at least 20-year trading history (the common stocks from your own portfolio are OK as long as they have long enough trading history).

· And then also download their historical prices from Yahoo!Finance and calculate their annual rates of returns.

· Calculate arithmetic and geometric means, and standard deviations based on these two stocks’ annual rates of returns.

· Find the betas of these two common stocks based on their annual rates of returns and S&P 500 Index annual rates of returns. (Section “Estimating Beta” on Textbook page 245-247 can be used as reference.)

Due Date: November 3, 2015