Abstract
Our senior thesis for the Finance Major involves managing a portfolio of five stocks with a figurative investment of $1,000,000. We carefully select stocks based on historical performance, macroeconomic trends, and information from the Federal Reserve, and diversify our portfolio to mitigate risks. Our investment strategy includes two risky stocks (NVIDIA and VMware) and three safer stocks (JM Smucker, Kinder Morgan, and Walt Disney). We utilize Portfolio Tdetermine optimal heory and Capital Asset Pricing Model (CAPM) to weights for our portfolio. Despite small fluctuations in stock prices over the past three months, our portfolio has yielded $180,207, thanks to our use of CAPM to take on more risk.
