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Name: Synandre Montaque-Dwyer ID#: 9911339 Lecturer: Dr. Neville Swaby

In partial Fulfilment for the Masters in Business Administration (MBA), University of Technology Jamaica, 2008

2 Table of Contents Assignment Outline ...................................................................................... 3 Introduction ................................................................................................... 4 Investment Portfolio Breakdown .................................................................. 5 SECTION A Introduction to Investment Portfolio Brief Overview of Stocks 1) Caribbean Cement Limited (CCC) 2) GraceKennedy Limited (GK) 3) Jamaica Broilers (JB) 4) Montego Freeport (MFP) 5) Scotia Jamaica Limited (SGJ) Overview of other Investment Instruments 1) Foreign Exchange 2) Treasury Bills 3) Mutual Funds 4) Miscellaneous SECTION B Analysis of Investment Portfolio Analysis of Stocks ..................................................................................................... Analysis of Foreign Exchange Investment ............................................................... Analysis of Treasury Bill Investment ....................................................................... Analysis of Mutual Funds Investment ...................................................................... Analysis of Miscellaneous Investment ..................................................................... SECTION C Critique of Portfolio Conclusion and Assessment of Overall Portfolio ..................................................... Critique on Portfolio Performance ............................................................................ Glossary .................................................................................................................... References ................................................................................................................. Appendices ................................................................................................................

Students in the course Investments Analysis and Behavior ofandMasters of Business Assignment Task: Investment Analysis the Behaviour Administration, Montego Bay Cohort were given the task of developing an investment portfolio for the course Investments Analysis and Behavior of the Masters of Business Students in Jamaican $15,000,000.00 based on the information listed below and report on its performance at the end of twelve (12) weeks over the period July to September 2008. Administration, Montego Bay Cohort were given the task of developing an investment portfolio for Jamaican $15,000,000.00 based on the information listed below and report on its 1. Stock Market:end of twelve (12) weeks to bethe periodin sixto September 2008. performance at the Total of $7,000,000.00 over invested July stocks currently traded on the Jamaican Stock Exchange (JSE) Treasury Bills, proportions: Investments included Stocks, Foreign Exchange,in the following Mutual Funds and a a) investment of miscellaneous$2,500,000.00 our choice. b) Total of $7,000,000.00 to be invested in six stocks currently traded on the Stock Market:$1,600,000.00 c) $1,000,000.00 Jamaican Stock Exchange (JSE) in the following proportions: STOCK Ad) STOCK Be) f) STOCK C$900,000.00 $2,500,000.00 $600,000.00 $1,600,000.00 $400,000.00 $1,000,000.00

STOCK D - $7,000,000.00 $900,000.00 2. STOCKForeign Exchange: $2,500,000.00 E - $600,000.00 3. Treasury Bills: STOCK F - $400,000.00 $2,000,000.00 4. Mutual Funds: $2,000,000.00 TOTAL STOCKS $7,000,000.00

5. $1,500,000.00 Foreign Miscellaneous: Exchange: $2,500,000.00 Treasury Bills: $2,000,000.00

A detailed analysis of the performance of the portfolio is required for written submission. Mutual Funds: $2,000,000.00 Miscellaneous: $1,500,000.00

A detailed analysis of the performance of the portfolio is required for written submission.


This Portfolio looks at various investments and how as an investor you are able to assess their performance. The assignment sought to simulate an actual investment environment. Basic guidelines for the investment portfolio was limited to just the allocation amount of funds to each type of investment. Investors had free reign to make choices re the investment as they would in a real investment environment. Investment concepts taught throughout the course were put into practical application. Stock Investments looked at concepts such as capital appreciation, dividends, arithmetic mean, geometric mean, variance, standard deviation, covariance and correlation. Information for the portfolio was obtained from various Jamaican institutions resource centers, such as the Jamaica Stock Exchange (JSE) and various financial Institutions. Tables, charts and graphs are included in the portfolio to help facilitate better assessment of the data presented. A point to note is that the period of this investment was one in which the financial sector worldwide was experiencing a lot of instability. Excerpts from the spreadsheet used in the calculations are included in the Portfolio.

Investment Portfolio Breakdown

The investment portfolio being assessed in this project is diversified into five (5) areas. Each area will be analysed individually and then assessed as one entity the portfolio. Fig. 1 shows a graphical representation of the allocation of funds for the portfolio. The majority of funds, 47%, is allocated to stocks (six stocks in total), with foreign exchange following second at 17%. Treasury Bills and Mutual Funds had 13% of the total funds allotted to each with the smallest amount of 10% allocated to miscellaneous investments, of which I chose Certificate of Deposits or CDs.
Portfolio Investment Breakdown Total Investment 15 Million Dollars

Certificate of Deposits 10% T-Bills 13% Stocks 47%

Stocks Foreign Exchange Mutual Funds T-Bills Certificate of Deposits

Mutual Funds 13% Foreign Exchange 17%

Fig. 1

Section A: Introduction to Investment Portfolio

Brief Overview of Stocks Caribbean Cement Limited (CCC) Grace Kennedy Limited (GK) Jamaica Broilers (JB) Montego Freeport (MFP) Scotia Jamaica Limited (SGJ) Overview of other Investment Instruments Foreign Exchange Treasury Bills Mutual Funds Miscellaneous

Portfolio Investment: Stocks

The following Portfolio consists of six stocks comprising companies listed on the Jamaica Stock Exchange (JSE). The stocks invested in spans various industries. These include, Caribbean Cement Company Limited, Grace Kennedy, Jamaica Broilers, Kingston Wharves, Montego Freeport and Scotia Group Jamaica Limited. Information on the different companies is gathered from the companys website.

Caribbean Cement Limited (CCC) Caribbean Cement Company Limited, through its subsidiaries, engages in the manufacture and sale of Portland cement primarily in Jamaica. The company offers gypsum materials and Carib cement, as well as offers technical support services to commercial concrete producers and block makers. It also engages in the management of port facilities. The company was incorporated in 1947 and is based in Kingston, Jamaica. The idea of a cement company in Jamaica was aired in 1921. However, serious consideration was given to the idea in the years just prior to the end of World War II. The arguments used for a local plant were to curb the shortage of cement being experienced as a result of the war, the presence of a large local market, an adequate supply of cement for government's building projects and to utilize the shipping space made available by the reduction of cement imports for other necessary commodities. Also, it was the aim to produce and sell on the local market at a price less that the cement imported from Britain. Before the war, cement was shipped from Britain at a cost four times the cost of producing in Jamaica. Caribbean Cement Company Limited was incorporated and in 1948 accepted the government's cement franchise terms for the construction of a plant with a capacity of

8 100,000 tonnes. (Excerpt Taken from: http://www.caribcement.com/about/history.asp & http://investing.businessweek.com/research/stocks/) Grace Kennedy Limited (GK) GraceKennedy is one of the Caribbean's largest and most dynamic corporate entities. The company started in Jamaica in 1922 as a small trading establishment and wharf founders. It has expanded and diversified over the years, changing from a privately-owned enterprise to a public company listed on the stock exchanges of Jamaica, Trinidad, Barbados and the Eastern Caribbean. Today, the GraceKennedy Group comprises a varied network of some 60 subsidiaries and associated companies located across the Caribbean and in North and Central America and the United Kingdom. Our operations span the food distribution, financial, insurance, remittance, hardware retailing and food-processing industries. Excerpt Taken from: http://www.gracekennedy.com/GRACE/corp_Profile.htm) Jamaica Broilers (JB) Jamaica Broilers Group Limited and its subsidiaries engage in the production and distribution of poultry, beef, fish, animal feeds, and agricultural products in Jamaica. It operates in three segments: Poultry Operations, Feed and Farm Supplies, and Fish Operations. Further, Jamaica Broilers Group involves in cattle rearing, ocean freight consolidation, captive insurance, property rental, and electricity generation businesses. The company sells its products through a range of retailers, wholesalers, and shopkeepers. Jamaica Broilers Group was founded in 1958 and is headquartered in St. Catherine, Jamaica.Using state-of-the-art technologies throughout the production and processes, each of our Groups divisions constantly strives to achieve and surpass international standards of efficiency and quality.

9 Jamaica Broilers Group has been a publicly-listed entity since 1977 and, in that same year, became one of the first companies in the world to offer an Employee Share Ownership plan. The company presently has a workforce of over 1,500 workers and operates from seven locations islandwide, with two divisions located in the U.S.A. Excerpt Taken from: http://www.jamaicabroilersgroup.com & http://investing.businessweek.com Kingston Wharves Founded in 1945, Kingston Wharves Limited (KWL) is one of the Caribbean's leading multipurpose terminal operators. Listed on the Jamaica Stock Exchange, with net assets of US$ 54 million, the Company has experienced steady growth and boasts a steady profit stream with a high proportion of retained earning ploughed back into the business. Kingston Wharves Limited operates a terminal in Port Bustamante, just east and adjoining Kingston Container Terminal. A continuous quay nearly 1,600 meters long provides nine deepwater berths for ro-ro, lo-lo,container, general break bulk and bulk shipping services. The 25 hectare terminal offers 22 hectare of open storage with 30,000 square meters of covered warehousing and cold storage. The company also has 53, 000 square meters of secure off-dock storage for motor vehicles. Excerpt Taken from: http://www.kingstonwharves.com.jm) Montego Freeport (MFP) Montego Freeport Limited (the company) is a company limited by shares. The Government of Jamaica, through the Urban Development Corporation, owns approximately 82% of the issued share capital of the company, which is listed on the Jamaica Stock Exchange. The company and its subsidiary (the Group) are incorporated and domiciled in

10 Jamaica and have registered offices at Montego Freeport Shopping Centre, Montego Bay. The principal activity of the Group is property ownership and rental (Taken From: Montego Freeport Financial Reports, March 21, 2008) Scotia Jamaica Limited (SGJ) Scotia Group Jamaica Limited operates as the holding company for The Bank of Nova Scotia Jamaica Limited (bank), which provides a range of financial products and services to individuals and businesses in Jamaica. The bank operates in five segments: Retail Banking, Corporate and Commercial Banking, Treasury, Investment Management Services, and Insurance Services. The Retail Banking segment offers personal banking services, personal customer current accounts, savings deposits, custody, credit and debit cards, customer loans, and mortgages. The Corporate and Commercial Banking segment provides non-personal direct debit facilities, current accounts, deposits, overdrafts, loans and other credit facilities, and foreign currency transactions. The Treasury segment engages in liquidity and investment management functions, management of correspondent bank relationships, and foreign currency trading. The Investment Management Services segment engages in investments and pension fund management, and the administration of trust accounts. The Insurance Services segment offers life insurance products and services. The bank operates approximately 42 branches and 149 automated banking machines. The company was founded in 1889 and is based in Kingston, Jamaica. Excerpt Taken from: http://investing.businessweek.com/research/stocks/) The following spreadsheet excerpt shows the performance of the stocks over the twelve weeks. It shows weekly price and value of the stock as well as calculates any capital gains or losses. The weekly percentage return is also highlighted.


Portfolio Investment: Foreign Exchange

Portfolio Investment Amount = $2,500,000.00 Foreign exchange refers to trading one type of currency for another. Unlike other financial markets, the FX market has no physical location and no central exchange. It operates "over the counter" through a global network of banks, corporations and individuals trading one currency for another. The FX market is the world's largest financial market, operating 24 hours a day with enormous amounts of money traded on a daily basis. Unlike any other financial market, investors can respond to currency fluctuations caused by economic, political and social events at the time they occur, without having to wait for exchanges to open.


Portfolio Investment :Treasury Bills

Portfolio Investment = $2,000,000.00 Treasury bills are short term government debt instruments. In the United States, for example, the market for short term central government debt is mainly comprised of Treasury bills with a maturity of one year or less. Standard maturities are 3 months, 6 months and, in some cases, 1 year. Liquidity in short-term government debt is usually high. This is because of:

the high credit standing/low default risk of the issuer i.e. government the homogeneity of the instruments the high (and regular) volume and low denomination size of the debt.

Treasury bills are usually issued at a discount and are redeemed at their full face value at maturity. Mutual Funds Portfolio Investment = $2,000,000.00 Known also as an open ended fund or in the UK as unit trusts, mutual funds are pooled investment vehicles. They mostly invest in stocks and bonds of companies and public authorities. They offer the small investor the chance to spread their investment widely. An investor who wishes to invest in a mutual fund simply buys new shares in the fund, which then expands in size. Sellers can only sell their shares back to the fund, which shrinks accordingly. Specialist companies typically run mutual funds.

13 Certificates of Deposits (CDs) Portfolio Investment = $1,500,000.00 Certificates of Deposit (CDs) are securitised bank time deposits. The CD market is a tiered market offering securities backed by different names and so a range of liquidities and yields. Earnings Per Share for Stocks in the Portfolio. Caribbean Cement - 0.64

Ownership structure Whether stock is undervalued or overvalued (do calculation to illustrate) Price weighted Average of Stocks Do an Analysis of the results. Use book to incorporate what results mean. CAPM Model to find Expected return for each stock Stock A B C D E F Treynor Index and Sharpe Ratio on the Portfolio Current Price Expected Price Expected Dividend Requirement Estimated Evaluation

Dividends paid out

14 The Jamaica Broilers Group Limited generally distributes twenty percent (20%) of its audited annual profits after tax as dividends. Behavioural Finance Psychological Biases of stock Investments Standard Deviation of Portfolio. Calculate Expected Share Price Dividend discount model Constant growth model NAV Calculate the future value of initial stock investment


Section B: Analysis of Investment Portfolio

Analysis of Investment Portfolio Analysis of Stocks Analysis of Foreign Exchange Investment Analysis of Treasury Bill Investment Analysis of Mutual Funds Investment Analysis of Miscellaneous Investment


For the stock option of the portfolio six stocks from varying industries were chosen. There were no specific criteria for choosing the differing stock. Neither were their criteria for the allotment of funds. The six stocks as was highlighted earlier are Caribbean Cement Limited (CCC), Grace Kennedy Limited (GK), Jamaica Broilers (JB), Montego Freeport (MFP) and Scotia Jamaica Limited (SGJ). The performance of the stock was assessed over a twelve (12) week period. For this period it should be noted that it was a period of incredible volatility in the financial sector worldwide. This period was at the peak of the the financial turmol which is still ongoing. Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10 Week 11
9.00 76 7.25 6.80 2.70 23.80

Stock Code


9.75 85.05 5.70 7.01 2.12 24.00

Stock Price

9.51 85 5.98 7.01 2.10 24.20

9.89 86 5.75 7.05 2.20 24.90

9.61 89 6.61 7.00 2.20 24.4

9.41 88.60 6.40 7.00 2.05 23.97

9.42 88.06 6.40 6.60 2.05 23.55

9.21 85.05 6.41 6.60 2.05 24.50

9.00 84.01 6.30 6.45 2.30 23.80

9.01 83.50 6.55 7.00 2.50 24.45

8.85 82.01 7.20 6.50 2.40 24.50

9.00 76.10 7.20 7.20 2.35 23.86

8.85 72 6.30 6.80 3.15 23.52

Caribbean Cement Company Ltd - Stock Prices Over 12 Weeks

10 Stock Price 9.5 9 8.5 8
e 1 2 4 7 3 5 6 8 9 k 10 W ee k 11 W ee k 12 Pr ic k k k k k k k W ee W ee W ee W ee W ee W ee W ee W ee k W ee W ee k


St oc


Fig. B1

Analysis: Highest Price: $9.89

Lowest Price: $8.85

Week 12

17 Over the twelve (12) weeks Caribbean Cement experienced continuous decline in its stock price except for the second week after purchasing the stock in which it saw an increase ($9.89) which was at a price even greater than the purchase price ($9.75) of the stock.
GraceKennedy Ltd- Stock Price Fluctuations over 12 Weeks
100 80 Weeks 60 40 20 0
e 1 2 3 4 5 6 7 8 k 9 W ee k 10 W ee k 11 W ee k 12 Pr ic k k k k k k k W ee W ee W ee W ee W ee W ee W ee k W ee W ee


St oc

Sock Price

Fig. B2

Analysis: Highest Price: $89.00

Lowest Price: $72.00

The GraceKennedy stock for the first half of the period experienced steady growth; however for the last half it experienced a similar steady decline in its share price value. This is one of the stocks that experience a capital loss at the end of the period.

Jamaica Broilers Ltd. - Stock Price Fluctuations Over 12 Weeks

8 7 6 5 4 3 2 1 0
W ee k 1 W ee k 2 W ee k 3 W ee k 4 W ee k 5 W ee k 6 W ee k 7 W ee k 8 W ee k 9 W ee k 10 W ee k 11 W ee k 12 Pr ic e

Stock Price


to ck


Fig. B3 Analysis: Highest Price: $7.25 Lowest Price: $5.75

18 The Jamaica Broilers stocks ended the period had a 10.5% capital gain. The stock however experienced quite a bit of volatility, while other times having little or no movement or fluctuations, as can be seen from the graph above.
Kingston Wharves Limited - Stock Price Fluctuations over 12 Weeks
7.4 7.2 7 6.8 6.6 6.4 6.2 6
P ric e W ee k 1 W ee k 2 W ee k 3 W ee k 4 W ee k 5 W ee k 6 W ee k 7 W ee k 8 W ee k 9 W ee k 10 W ee k 11 W ee k 12

Stock Prices


St oc k


Fig. B4

Analysis: Highest Price: $7.05

Lowest Price: $6.45

Monteg Freeport Limited - Stock Price Fluctuations over 12 Weeks

3.5 3 2.5 2 1.5 1 0.5 0
e 1 2 3 4 5 6 7 8 k 9 W ee k 10 W ee k 11 W ee k 12 ic k k k k k k k Pr W ee W ee W ee W ee W ee W ee W ee W ee k W ee

Stock Price


St oc


Fig. B5

Analysis: Highest Price: $3.15

Lowest Price: $2.05


Scotia Group Jamaica - Price Fluctuations over 12 Weeks

25.5 25 24.5 24 23.5 23 22.5
Pr ic e 1 2 3 4 5 6 7 8 k 9 W ee k 10 W ee k 11 W ee k 12 k k k k k k k W ee W ee W ee W ee W ee W ee W ee k W ee W ee

Stock Price


St oc k


Fig. B6 Analysis: Highest Price: $24.90 Lowest Price: $23.80

20 Overview of all Stocks

Stock Porfolio - Stock Price Fluctuations for all Stocks over 12 Weeks
100 90 80 Stock Prices 70 60 50 40 30 20 10 0
Pr ic W e ee k W 1 ee k W 2 ee k W 3 ee k W 4 ee k W 5 ee k W 6 ee k W 7 ee k W 8 ee k W 9 ee k W 10 ee k W 11 ee k 12


St oc k


Fig. B7

Of the six stocks bought in July, only two realised capital gains. These two stocks are Jamaica Broilers and Montego Freeport. All other stocks experienced loss in value of their stock price by the end of the twelve (12) weeks. Percentage gains and Losses for the stocks are as seen in the table below: Stock Code Caribbean Cement Company Ltd. GraceKennedy Ltd. Jamaica Broilers Kingston Wharves Ltd. Montego Freeport Ltd. Scotia Group Jamaica Beta of Stocks GK 1.05 Scotia .91 KW 1.1 JB .98 MFP 1.07 CCC 1.03 For the three stock Portfolio the three stocks chosen are from the Manufacturing Industry. Percentage Gain/Loss Status at 12 Weeks -0.09231 LOSS -0.15344 LOSS 0.105263 GAIN -0.02996 LOSS 0.485849 GAIN -0.02 LOSS


A sum of Jamaican $2,500.000.00 was to be invested in foreign exchange in a Jamaican Financial institution- Jamaican Money Market Brokers (JMMB). With guidance from investment advisors at the institution the currency to invest in would be ascertained. The investment for this portfolio was in US dollars. If this amount was invested on the July 1st 2008, the following information would hold true. With an exchange rate on the day of investment being J$71.90 = US$1.00 then J$2,500,000.00 would equate to $34,770.51 invested for three months at a rate of 4.55%. Exchange rate at the end of the period was $72.68. The investment was done over a 81 day period. With the investment maturing in the first month (31 days), reinvested for another month in which that also matured and in the last reinvestment for 19 days. The total interest received on the investment is $286.85. Converted to Jamaican dollars this would amount to J$20, 733.77. The Exchange rate at the end of the investment is $72.68 which gives a value of $2, 513, 212.46. This is a capital gain of $13, 212. 60 on the initial investment of $2,500,000.00. Therefore the overall gain on the investment is the interest plus the exchange gain, which in this case would be the J$20, 733.77. + $13, 212. 60 = 33,946.57. The percentage gain on the initial investment is 1.36%


The rate on treasury bills is considered the risk free rate. Treasury bills do not pay interest but are purchased by investors at a discount through an auction process utilising the forces of supply and demand. The investment period for this portfolio did not see a Treasury bill issue coinciding simultaneously. There was only one three month Treasury bill on offer by the government of Jamaica dated 25 July, 2008 for redemption on 24 October 2008. This issue was used to calculate the Treasury bill investment for the portfolio assessment. All details of the issue were used with the exception of the issue and redemption dates. Fig TB1 shows the details of the issue.

Treasury Bill Issue Information Partial allotment price: $96.49946 Par value: Average discount: Average yield Tax rate: $100.00 13.95% (annualised) 14.46% (annualised) 25% Fig. TB1

The initial investment on Treasury Bills was Two Million dollars ($2,000,000.00). The discounted price for each unit of the Treasury bill was $96.4946. With the two million dollar investment a total of 20,725.5046 were number of units were bought. On redemption of the total units (20,725.5046) the price paid was $100.00. Therefore the total redemption value was Two million and Seventy Two Thousand, Five hundred and Fifty dollars and Forty-six cents ($2,072,550.46 ). Therefore, the gross returns on the Treasury bill investment was Seventy Two Thousand, Five hundred and Fifty dollars and Forty-six cents. The taxable

23 amount of 25% was deducted from the gross returns, a value of Eighteen Thousand, One hundred and Thirty Seven dollars and Sixty Two cents. The net return on the investment therefore is Fifty Four Thousand, four hundred and Twelve dollars and eighty four cents ($54,412.84). Actual calculations of Treasury Bill investment is shown in Fig TB 2

Number of Units Purchased @ $96.4946 per unit Redemption of units @ $100.00 per unit $2,072,550.46 Gross returns Tax at 25% Net Gain on investment $72,550.46 $18,137.62 $54,412.84

Fig. TB2


The mutual fund investment chosen for this portfolio was the Advantage Investment Council (AIC) Focused Corporate Class Mutual Fund offered through the National Commercial Bank (NCB) Capital Markets. All funds allotted to mutual fund investments was invested in this one mutual fund. The mutual fund operates similarly to the stock market, in that; prices of stocks are assessed over the 12 weeks. A total of $2,000,000 was invested on July 02, 2008. The purchase price was $7.88 per unit. The number of units for the fund was 253,807.11. Week Price Per Unit Value of Unit 1 7.96 $2,020,304.5 2 3 4 5 6 7 8 9 10 11 12 7.76 7.62 7.68 7.82 7.73 7.69 7.92 8.03 7.65 7.61 7.77 7 1,969,543.15 1,934,010.15 1,949,238.58 1,984,771.57 1,961,928.93 1,951,776.65 2,010,152.28 2,038,071.07 1,941,624.37 1,931,472.08 1,972,081.22 Gain/Loss 20,304.57 (50,761.42 ) (35,532.99 ) 15,228.43 35,532.99 (22,842.64 ) (10,152.28 ) 58,375.63 27,918.78 (96,446.70 ) (10,152.28 ) 40,609.14 Status GAIN LOSS LOSS GAIN GAIN LOSS LOSS GAIN GAIN LOSS LOSS GAIN

25 The figure below shows the changes in unit price over the twelve week period.
Price Per Unit
Price Per Unit Per Week 8.1 8 7.9 7.8 7.7 7.6 7.5 7.4 1 2 3 4 5 6 7 8 9 10 11 12 Weeks Price Per Unit

The beginning price per unit was $7.88 and the ending price per unit was $7.77. The investment experienced a loss of 0.11 cents per unit, an overall loss of $27,918.78.


Section C: Critique Portfolio

Critique of Portfolio Conclusion and Assessment of Overall Portfolio Critique on Portfolio Performance

27 CONCLUSION ON OVERALL PORTFOLIO PERFORMANCE The stock investment made an overall loss. Even though two of the six stocks made a gain the gains were not overly significant. The foreign exchange investment experienced minor gains as well during the investment period. The mutual fund investment also experienced a loss over the period. The certificate of deposit and Money Market instrument received a gain. These investments are considered low risk. A breakdown of the investment and returns are as follows: Investment STOCKS FOREIGN EXCHANGE MUTUAL FUNDS TREASURY BILL Initial Invest 7,000,000.0 0 2,500,000.0 0 2,000,000.0 0 1,500,000.0 Returns on Investment

0 CDs & MONEY MARKET 2,500,000.0 0 Stocks Treasury Bill investment is considered risk free and is considered an almost sure investment. As finance majors we know in investments there is no such thing a risk free investment. Treasury Bills are however, at least in the Jamaican environment, as close as we can get to risk free. Total Returns Total Investment to assess the performance of the entire portfolio.

28 Glossary Stock Market Shares Foreign Exchange

29 Formula Sheet

30 References Berk, Jonathan., Demarzo Peter. (2007) Corporate Finance, Pearson International Edition, New Jersey. Hirschey, Mark. & Nofsinger, John. (2008).Investments Analysis and Behavior, McGrawHill/Irwin, New York Hitman, Kent A., Hunter Hugh O. (2002) Foundations of Corporate Finance, SouthWestern, Ohio. Ross, Stephen. et al. (2001). Essentials of Corporate Finance, , McGraw Hill, New York Financial Gleaner, October 17, 2008 published by the Gleaner Company of Jamaica Limited Retrieved on http://www.financial-guide.net/glossary.php?language=en#T Retrieved on http://www.jamaicastockexchannge.com Retrieved on http://www.investopedia.com Retrieved on http://www.ncbcapitalmarkets.com Retrieved on http://www.jncb.com Retrieved on http://www.jmmbsecurities.com Retrieved on http://www.boj.org.jm

31 Appendices