Imagine that you are a potential investor researching a U.S. investment of your choice. Your choice can be any investment that is highly marketable, which means that you must be able to sell it at a market price very easily, and develop a strategic diversification plan for a great return. Publicly traded stock, corporate bonds, government bonds, real estate, mutual funds, and derivatives are all examples of highly marketable investments. However, for this assignment, select the stock of a publicly traded U.S. corporation.
Collect financial statements, relevant financial information, or both that details the past three years of the chosen investment.
Research your chosen investment’s price for the past five years, as well as a related market index for this investment for the past five years and write a 3–5 page paper in which you do the following:
Select the stock of a publicly traded U.S. corporation that you wish to research for your portfolio diversification, with at least two supporting fundamental reasons such as price to earnings (P/E), price to book (P/B), price to cash flow from operation (P/CFO), and price to dividend (P/D). Provide at least one technical screen such as uptrend.
Provide a brief one paragraph explanation of the systematic risk and potential return associated with the investment you’ve selected.
List five resources to demonstrate that there is enough information to support your decision regarding your selected investment.