The written report is due on May 1st and must include your answers to the following questions:
- What were your overall investment needs? That is, describe your investment horizon, financial goals, risk tolerance etc. Please be consistent with your answers in the Robo-advisor survey.
- What was your original strategy for the StockTrak portfolio? That is, explain in your words what decision criteria you used to determine which stock/ ETF to add to the portfolio.
- Describe the asset allocation and portfolio risk of your StockTrak portfolio and compare it to Robo-Advisor’s recommendation. How do the two differ? Were the goals for the StockTrak assignment different than your overall investment goals?
- Please provide a complete report of your StockTrak transactions throughout the trading period. For each transaction, please provide an explanation/reasoning for the trade – this is your Trading Journal. For this, you can simply print out the transaction history provided by StockTrak.
- Report your StockTrak portfolio performance, that is, report your portfolio’s final value and its percentage return. Compare your portfolio return to S&P 500 index return over the same time period (i.e., September 9 to November 15).
- Assume that your portfolio was a mutual fund actively managed by you, did your management add value? Were you able to beat a passive fund (e.g. a market index fund)?
- Finally, if you were to invest your own savings in a mutual fund, would you invest in an actively managed fund or a passive fund or use a robo-advisor? Watch this short video before you answer: https://www.youtube.com/watch?v=rXnwi5eNpNI.