INVESTMENTS

Week - 6

MADE BY:
ABDULLAH MAJEED
AFIFA SHAMIM
BALAWAL ARIF BUTT
FARHEEN HASSAN
SHAHRYAAR KHAWAJA
SANA ZAFAR
MUHAMMAD ALI GILL
BSC III – SECTION A
LAHORE SCHOOL OF ECONOMICS
 PASSIVE PORTFOLIO

Friday 26th September 2014

No. Company Name Closing share price (P0) in No. of shares Wealth (W0) in
PKR bought PKR
1 JUBILEE LIFE 301.75 1,000
INSURANCE CO LTD 301750
2 PACKAGES LTD 607.81 1,000 607810
3 MURREE BREWERY 1075.00 2,500
CO LTD 2687500
4 SHEZAN 980.98 441
INTERNATIONAL LTD 432612
5 ENGRO FERTILIZERS 53.55 2,000
LTD 107100
6 GADOON TEXTILE 237.44 1512
MILLS LTD 359009
7 THE SEARLE 255.6 500
COMPANY LIMITED 127820
8 BANK AL-FALAH 29.03 3300 95799
9 PHILIP MORRIS 672.48 5000
(PAKISTAN) LIMITED 3362400
10 UNILEVER PAKISTAN 8767.15 420
FOOD LIMITED 3682203
Total 11764003
 Monday 29nd September 2014
Company Name Closing share price (P0) in No. of Wealth (W0) in
PKR existing PKR
No. shares
1 JUBILEE LIFE 301.00 1,000
INSURANCE CO LTD 301000
2 PACKAGES LTD 585.73 1,000 585730
3 MURREE BREWERY 1,021.25 2,500
CO LTD 2553125
4 SHEZAN 975.10 441
INTERNATIONAL
LTD 430019.1
5 ENGRO 53.50 2,000
FERTILIZERS LTD 107000
6 GADOON TEXTILE 230.00 1512
MILLS LTD 347760
7 THE SEARLE 242.86 500
COMPANY LIMITED 121430
8 BANK AL-FALAH 28.52 3300 94116
9 PHILIP MORRIS 706.10 5000
(PAKISTAN)
LIMITED 3530500
10 UNILEVER 8,799.00 420
PAKISTAN FOOD
LIMITED 3695580
Total
11766260.1
Rate of return= (New wealth –Old wealth)/ Old wealth
Rate of return= (11766260.1-11764003)/ 11764003)
Rate of return= 0.019%

ACTIVE PORTFOLIO

MONDAY, 22nd SEPTEMBER 2014

Initial investment in market portfolio: PKR 10, 000, 000
No. Company Name Closing No. of Wealth (W0)
share price existing in PKR
(P1) in PKR shares
1 SANOFI-AVENTIS LTD 777.77 369 286997
2 PACKAGES LTD 585.73 1,000 585730
3 SHEZAN 975.10 441
INTERNATIONAL LTD 430019
4 KHYBER TOBACCO CO 321.00 7952 2552592
LTD
5 PAKISTAN 23.02 4522
TELECOMMUNICATION
LTD 104096
6 ATLAS HONDA LTD 290.33 1178 342009
7 THE SEARLE 242.86 500
COMPANY LIMITED 121430
8 BANK AL-FALAH 28.52 3300 94116
9 FEROZSONS 404.34 9039 3654829
(LABORATORIES) LTD
10 UNILEVER PAKISTAN 8799.10 420
FOOD LIMITED 3695622
Total 11867440
*Left over investment money: PKR 1000.00
FRIDAY, 26th SEPTEMBER 2014
Shares Bought
No. Stock Status Closing Price No. of Wealth in PKR
(P1) in PKR Shares
1 Rafhan Maize Products Newly Bought 11450 24 274800
Ltd

Shares Sold
No. Stock Status Closing Price No. of Wealth in PKR
(P1) in PKR Shares
1 SANOFI-AVENTIS Sold 750.00 369 276750
LTD

Closing position
No. Company Name Closing No. of Wealth (W0)
share price existing in PKR
(P1) in PKR shares
1 Rafhan Maize Products 11450 24 274800
Ltd
2 PACKAGES LTD 628.11 1,000 628110
3 SHEZAN 930.00 441
INTERNATIONAL LTD 410130
4 KHYBER TOBACCO CO 355.34 7952 2825664
LTD
5 PAKISTAN 23.97 452
TELECOMMUNICATION
LTD 108392
6 ATLAS HONDA LTD 300.65 1178 354166
7 THE SEARLE 249.93 500
COMPANY LIMITED 124965
8 BANK AL-FALAH 29.39 3300 96987
9 FEROZSONS 413.78 9039 3739705
(LABORATORIES) LTD
10 UNILEVER PAKISTAN 9238.00 420
FOOD LIMITED 3879960
 Total 12442879
*Left over investment money: PKR 1000 + 250 + 311 + 2150 = 3711

Rate of return: (New Wealth – Old Wealth) ÷ Old Wealth * 100 = (12442879 - 11867440) ÷
11867440* 100
= 4.84%
Analysis

Share prices for SANOFI-AVENTIS LTD had drastically declined over the last week and have
therefore been sold. These stocks were replaced with Rafhan Maize Products Ltd, which have
observed impressive growth trend the past week. The active portfolio rate of return, for the week,
was 4.84% as opposed to the passive portfolio’s rate of return of 1.9%.

Index Portfolio

KSE-100 index value on Monday = 29,383.18

KSE -100 index value on Friday = 30,103.23

P0 No. of Shares Wealth (W0)

29383.18 350.639 10302888.85

P1 No. of Shares Wealth (W1)

30103.23 350.639 10555366.46

Rate of Return = (new wealth – old wealth)/ old wealth

Rate of Return = (10555366.46 - 10302888.85) /10302888.85
= 0.0245 * 100
= 2.45 %
SCREENSHOTS