Security Analysis and Portfolio Management
Project description
For the first question you need to list the prices monthly for 5 years (60 data prices) and then calculate 59 of stock return using the sample data. Use (n-1) for the standard deviation. And use spearmen method to calculate the correlation coefficient.

For second question you need to combine the two stocks. The investment opportunity can be divided into two parts: portfolio risk and portfolio return.

 
Paragraph 1
The 1st paragraph summarizes the argument. The summary should briefly state the author’s thesis and describe the arguments and evidence the author uses to defend that thesis. A good summary will also give the reader some sense of how the argument is organized. The summary should be as fair and objective as possible; try not to give away your judgment of the argument in the summary.
Note that good paragraphs have the same organizational qualities as good essays: they are unified around a single, clearly stated thesis; they develop all important parts of that thesis; and they arrange those parts into a coherent whole by making clear how different parts of the argument are related. Therefore, your summary paragraph should try to reflect, in a condensed form, the logical organization of the author’s thought.
Paragraphs 2 and 3
The 2nd and 3rd paragraphs critique the argument: one paragraph will focus on the argument’s major strengths, the other paragraph on its major weaknesses. Among the questions to consider in critiquing any argument are:
• Does it provide strong and logical arguments?
• Is the evidence credible, correctly interpreted, and sufficient to support the argument?
• Does it define and use important terms consistently?
• Are all reasonable objections to the argument anticipated and answered?
• Are the organization and style effective, given the audience the author is trying to persuade?
• Does the author appear reasonable, credible, and well-informed about the topic?
Your critique paragraphs should refer to specific parts of the argument mentioned in the summary. You decide in which order the two critique paragraphs will appear (i.e., first strengths then weaknesses, or vice versa).
Finally, somewhere in the summary/critique you must state your thesis: a single sentence stating your overall judgment of the argument. Your thesis will be the result of weighing the arguments’ strengths against its weaknesses. You decide where to place the thesis.
Remember that critiques are assessments of the argument; your own opinion on the issue is not relevant and may in fact detract from the critique if it intrudes. Don’t try to introduce additional evidence not mentioned in the article to refute an author’s claims (you are probably not an expert on this issue, and even if you are, there’s probably no way to demonstrate your expertise convincingly within this assignment). You may, however, criticize an author for failing to address arguments or evidence that typical readers might be aware of.