5security-marketindicatorseries(投资解析跟投.ppt

Lecture Presentation Software to accompanyInvestment Analysis and Portfolio ManagementSeventh Editionby Frank K. Reilly Keith C. Brown Chapter 5Security-Market Indicator Series Questions to be answered: What are some major uses of security-market indicator series (indexes)? What are the major characteristics that cause alternative indexes to differ? What are the major stock-market indexes in the United States and globally and what are their characteristics? Chapter 5Security-Market Indicator Series What are the major bond-market indexes for the United States and the world? What are some of the composite stock-bond market indexes? Where can you get historical and current data for all these indexes? What is the short-run relationship among many of these indexes in the short run (monthly)? Uses of Security-Market Indexes As benchmarks to evaluate the performance of professional money managers To create and monitor an index fund To measure market rates of return in economic studies For predicting future market movements by technicians As a substitute for the market portfolio of risky assets when calculating the systematic risk of an asset Differentiating Factors in Constructing Market Indexes The sample size breadth source Differentiating Factors in Constructing Market Indexes Weighting of sample members price-weighted series value-weighted series unweighted (equally weighted) series Differentiating Factors in Constructing Market Indexes Computational procedure arithmetic average compute an index and have all changes, whether in price or value, reported in terms of the basic index geometric average Stock-Market Indicator Series Price Weighted Series Dow Jones Industrial Average (DJIA) Nikkei-Dow Jones Average Value-Weighted Series NYSE Composite SP 500 Index and more… Unweighted Price Indicator Series Value Line Averages Financial Times Ordinary Share Index Dow Jones Industrial Average (DJIA) Best-known, oldest, most popular series Price-weighted average