Search Results for investment-portfolio
Abstract
Gold is a rare, limited, and highly liquid asset. However, it is a luxury commodity and therefore can be considered an investment opportunity. It is readily available and does not carry significant risks to its users. Furthermore, there are no associated credit risks. Given these characteristics, it is a highly significant asset and plays a fundamental role in investment portfolios. These characteristics increase investors' interest in including gold in their portfolios, especially during times of financial crises. If an investor decides to include gold in their investment portfolio, it is essential to evaluate the proportion of gold in the portfolio, taking into account risk, return, and diversification. This study attempts to test and prove the hypothesis: Does gold provide good diversification for an investment portfolio? Is gold an important asset in an investment portfolio? Do investment portfolios that include precious metals such as gold show a better performance rate than portfolios that do not contain them? In addition, the research focuses on building an optimal investment portfolio of stocks, an investment portfolio of gold and stocks, an investment portfolio of stocks and cryptocurrencies, an investment portfolio of cryptocurrencies and gold, and an investment portfolio of stocks, cryptocurrencies, and gold. The current research is the first Iraqi, Arab, and international research that includes gold in portfolios of stocks, currencies, and cryptocurrencies simultaneously. The research sample consisted of (21 stocks) listed on the Iraq Stock Exchange, and (21) global cryptocurrencies for the period from (January 2017 - September 2023). The research concluded that including gold in stock portfolios clearly improves their performance.
Abstract
Given the great importance of financial stocks and their significant role as one of the financial assets used in building the optimal investment portfolio, they are exposed to many risks, the most important of which is the decline in their market value. Therefore, our study addressed the reverse split method as a financial method used to raise the prices of financial stocks with low prices. A sample of Iraqi banks that suffer from A decrease in the level of share prices of (14) Iraqi banks for the period from 6/2014 to 6/2024, as the research aims to know the extent of the ability of the reverse segmentation method in building optimal investment portfolios when implementing the reverse segmentation, and two sides of the reverse segmentation were taken, which are the positive side represented by the rise in prices, as well as the negative side represented by the decrease Stock prices when implementing the reverse split, and the research aims to know the effect of this method on the returns and risks of stocks after its implementation, especially the returns and risks of portfolios that were built based on the cut rate as well as the performance of these portfolios, as it was found that the effect of the reverse split of stocks was found whether at a rise in the price level or at a fall in stock prices after its implementation, and that the returns The risk levels increased more when prices rose after the reverse split than when prices fell. The research results also showed that the optimal portfolio’s return when prices rose after the reverse split was higher than the portfolio’s return after the price decline. However, the risk of the optimal investment portfolio when prices fell after the reverse split was higher, the risk of the investment portfolio is higher when prices rise after implementation. The reverse split did not play any role in improving the performance of the investment portfolio whether prices rose or fell. Therefore, investment portfolio managers who seek to achieve high levels of returns regardless of the level of risk associated with those returns should buy shares of banks that implemented the split decision. Reverse, and this requires the management of the Iraq Stock Exchange to include the reverse split within the procedures in effect in the Iraq Stock Exchange.
Abstract
The research aimed to identify how to build models for selecting the optimal mix of investment portfolios, as well as presenting the stock returns of fifty-four companies listed on the Iraq Stock Exchange to facilitate investors' choice of the best investment alternatives by comparing stock returns with the financial market returns. Using monthly data spanning the period from March 2020 to May 2024, the research examined fifty-four companies listed on the Iraq Stock Exchange, covering all traded sectors. The research also demonstrated the importance of beta analysis (β) in classifying stocks into defensive and offensive, which helps investors build balanced financial portfolios that manage risks more effectively. The research reached several conclusions, the most important of which is that the pricing of capital assets depends on two important factors: the risk premium and the beta value. Consequently, any increase in either of these factors will be directly reflected in the prices of corporate assets.