Investment analysis and portfolio management Assignment

Investment analysis and portfolio management - Assignment ExampleThe risk of exposures attributed to the enthronization done in both the Wall Street and Dubai Financial Market depends on a number of factors, which include overall volatility of the financial market. In these cases, the selling price of shares across various sectors appears to be stable due to the big number of big investment companies such as Google and Amazon among others that buzz off heavily invested. This aspect stabilizes the market pricing and thus reduces the risks involved. In addition, the portfolios invested in are not risky and this leaves a leeway of accepting to take the risks that whitethorn occur.The investment of 1,500,000AUD in diverse sectors in both the Wall Street and Dubai Financial Market is substantive and the fact that tow different markets are invested in, it implies that, the risk is diversified. In essence, risk diversification is a critical component of that an investor considers before investing in a financial market. In this case, the investor is well prepared to memorial tablet a situation where a risk would occur in one Investment Company, whereas the other one makes profits. This explains the essence of risk diversification. With this implication, then the investors efficiency to take risk qualifies to be average. However, the investments on the stock type F reduce the investors ability to take the risk. Considering the selling price of $ 15.71 on Monday, February 02, 2015 and $16.13 on Sunday February 15, 2015 respectively, we can conclude that, the this type of stock did not sell at a reasonable profit margin, when comparing g it with GOOG or AMZN, which was sell at $ 493. 72 and $ 293.95 on Monday, January 12, 2015 respectively. The point of focus attributed to the profit margin is on the number of shares invested in the profitable stocks. In the case of the non-profitable stock F in Wall Street, the number of shares traded is 1500, whereas the number of the shares