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Shares Investment

In: Business and Management

Submitted By kamerin1305
Words 1046
Pages 5
In this assignment we will briefly outline our investment philosophy based on our current knowledge of markets. Further discussed will be the adopted investment strategies as well as techniques for investing on the JSE. Lastly, a listed description of the companies and types of shares that will be invested in. Investment Philosophy: Since there is a time constraint of six month for this investment challenge, this investment strategy will be based on the short to medium term. This is based on our current, acquired knowledge and experience of the market. As time goes by there is expectation that the philosophy will evolve as more will be learned about the markets. After evaluating the personal and financial characteristics of the overall group, the following principles were agreed upon: * Don’t lose capital * Know the stocks you own * Research, Read and Think thoroughly before buying * Invest in no more than a total of eight companies Given the short period, the underlying goal is to make the highest possible profit in this time by carefully studying the market and following the trends produced. Our underlying philosophies based on goals and time horizon are ; to buy stocks based on trend lines and high trading volume; buying after positive market news; buy stocks that have gone up in the last few months, buy small capital stocks with substantial insider buying. The motto being followed:“ As long as the outcome is income”.
INVESTMENT STRATEGIES:

In choosing an investment strategy, careful consideration must be given to the kind of portfolio wanting to be explored. This will prevent irrational choices being made. An investment strategy is defined as a set of rules, behaviours or procedures designed to guide on investors selection of an investment portfolio. With the JSE Challenge, an Aggressive strategy approach will be employed as well as the

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