Group 14 - Rama, Aarna, Sid, Mei, Kaitlyn, Iris
Stock Picking Presentation
Recommendation
Expert Picks
Random Selection
Stocks that experts believed would increase in value.
U.S. and Canadian stocks completely at random.
Benchmark portfolio made up of a 50/50 weighting of two NA stock indices.
Stock Indices
Should we buy stocks on the basis of:
We recommend investing in stock indices because they provide better diversification and lower risk.
How might this recommendation be affected if the “experts” were to charge you a 1.5% annual fee?
Recommendation
Expert Picks
Random Selection
Stocks that experts believed would increase in value.
U.S. and Canadian stocks completely at random.
Benchmark portfolio made up of a 50/50 weighting of two NA stock indices.
Stock Indices
Should we buy stocks on the basis of:
We recommend investing in stock indices because they provide better diversification and lower risk.
Our Expert Portfolio | |||
GE Aerospace | -11.2% | Amazon | -13.2% |
Chevron Corp | 24.6% | Constellation Software Inc. | -18.3% |
General Dynamics Corporation | -4.0% | Restaurant Brands International | 4.7% |
Aritzia | -11.1% | Lockheed Martin Corporation | 8.1% |
Verizon | 39.5% | Apple | -2.4% |
Microsoft Corporation | -20.2% | Bank of Montreal | -2.2% |
Expert Stock Picks
Expert Stock Picks
Expert Stock Picks
External Events
Interest Rate Uncertainty
Persistent Inflation
Defensive Market Shift
For Example: Verizon (top performer)
616K Subscriber Growth
Broadband growth + strong cash flow
Reliable Dividend
How were these stocks originally selected? What industries do they represent?
Random Stock Pick
Our Random Portfolio | |||
Walt Disney Company | -16.8% | Biogen Inc. | 12.9% |
lululemon athletica inc. | -26.4% | Ventas, Inc. | 7.1% |
Nike, Inc. | -19.7% | Yum! Brands Inc. | -3.0% |
Kraft Heinz Company | -11.4% | Manulife Financial Corporation | -8.7% |
DoorDash | -27.9% | Shopify Inc. | -27.2% |
Tesla | -15.5% | Toronto Dominion Bank | -1.7% |
Random Stock Picks
Together, both indices hold 560 companies between two major economies, much bigger than any 12-stock portfolio
S&P 500 | |
Country: United States | |
# of Companies: | 500 large-cap U.S. firms |
Exchange: | NYSE & NASDAQ |
Tracked in: | US Dollars (USD) |
Sectors: | All 11 GICS sectors |
Top Holdings: | Apple, MSFT, Amazon, Nvidia |
S&P TSX 60 | |
Country: Canada | |
# of Companies: | 60 large-cap Canadian firms |
Exchange: | Toronto Stock Exchange |
Tracked in: | Canadian Dollars (CAD) |
Sectors: | Financials, Energy, Materials |
Top Holdings: | RBC, TD, Shopify, CNR |
Stock Indices
Expert Stocks
-0.5% ($461)
Indices
-5.0% ($4,992)
Random Stocks
-11.5% ($11,531)
ABSOLUTE PERFORMANCE
Portfolio Performance
Geopolitical tensions
Technology Trends (AI)
Inflation
Y-O-Y Earnings
Key Catalysts
1.5% Advisory Fee
Portfolio | Before Fees | Fees | After Fees | Return |
Expert | $99,539 | -$316 | $99,223 | -0.8% |
Random | $88,469 | No Fee | $88,469 | -11.5% |
Indices | $95,008 | No Fee | $95,008 | -5.0% |
Conclusion
Conclusion
We recommend investing in stock indices
Appendix - Expert Stock Selection: Data
Appendix - Expert Stock Performance
Appendix - Random Stock Selection: Data
Appendix - Random Stock Performance
Appendix - Index Performance & Data
Appendix - Exchange Rate
Appendix - 1.5% advisor fee