FACULTY OF BUSINESS AND MANAGEMENT
BACHELOR OF BUSINESS ADMINISTRATION (HONS.) FINANCE
INVESTMENT AND PORTFOLIO ANALYSIS (FIN552)
INDIVIDUAL ASSIGNMENT
EQUITY PORTFOLIO
PREPARED BY:
RAYNOLD ROBBIE ANAK RICHARD (2022782735)
BA2425B
PREPARED FOR:
WAN MUHD. FAEZ BIN WAN IBRAHIM
SUBMISSION DATE:
23 JUNE 2024
1.0 INTRODUCTION
Equity is defined as the ownership of the company’s shares in which entitled the
shareholder to become the owner of the company. The only way for one to become the
shareholder is to buy the stocks and shares through the stock listing. In this case, the buying
and selling of stocks and shares are conducted in Bursa Saham Malaysia. Bursa Saham
Malaysia is a platform to conduct stock exchanges. The main function of Bursa Saham
Malaysia is to facilitate the transactions of stocks and securities including equities and bond.
Bursa Malaysia is the main stocks exchange platform in the country which makes it an
important platform to generate the country’s economy. This is where I have chosen the
company I have invested in based on the analysis that I have conducted. Besides that, I have
also used TradingView application to review the technical aspects of the investment. I have
analysed the candlesticks as an indicator to the current price of the market. From there, I will
make my decision whether to buy or not to buy the stock that I have eyed on.
In Bursa Malaysia, I have invested in a few companies that shows a promise in getting
profit out of the investments. The decision that I have made to invests in those companies is
based on the analysis that I have conducted. I have used fundamental and technical analysis
mainly to see the behavior of the current investor that affects the market price of the stock
and the condition of the companies that I am about to invest in. Meanwhile, I also opt for
diversifications of shares according to different kinds of industries to maximize the profit I
had generated.
For my portfolio, I have invested in airlines, airport, and telecommunication stocks listed
in Bursa Saham. The stocks that I have invested during the time shows a promising outcome
for my investment since the analysis that I have conducted shows a positive outcome which
would maximize my profit in the investment. As a result, I have gained a total profit of
RM16,000 throughout the investment period out of these 3 industries.
2.0 TRADING EXPEREINCE
2.1 Psychological influenced decision and coaching-guidance on stock market
transactions
Throughout the investment period, I have encountered many feelings and dilemma in
making decision on my investment portfolio. During my first period of investment, I felt
excited to see Air Asia X Berhad (AAX) is in a good position since the current price that time
shows that the price is steadily increasing according to the analysis that I had conducted.
Therefore, I tried to invest my money on it by buying 100 units of AAX stocks with the
current price of RM1.49 per unit. After a week, the price went up to RM1.62 per unit. I felt
happy and decided to sell all 100 unit to gain profit out of it. Out of positive hope, I
reinvested another 300 units of AAX stocks with the price of RM1.63 per unit. The price
dropped to RM1.58 in 2 days after I invested to which anxious to hold the stock as I was
afraid to lose more money. Therefore, out of fear of losing, I sold 300 units of AAX with the
price of RM1.58.
After careful review on the stock listings in bursa Malaysia, I have decided to venture
on Malaysian Airport Berhad (AIRPORT). The current price during that time was RM10.34
per unit. Out of curious, I purchased 100 unit of AIRPORT since the technical analysis looks
promising enough. However, the result was opposite to what I expected. The price went down
to RM10.28 4 days later and I must sell all the stocks that I bought in fear of losing more
money. The result for my investments is not looking great at this stage.
Out of disappointment in my last few trades, I decided to switch my industry. I chose
the new public listed companies in Bursa Saham Malaysia. I did this because I was
dissatisfied with the investment on established companies since their stocks are more
expensive and their outcome are hard to predict. However, out of the guidance of my friends
and family, it is known that newly established companies have an affordable and guaranteed
to have a rise in the income although the profit margin might be smaller compared to
established companies. Therefore, I decided to invest a big volume of stocks with the smallest
amount of price per unit. I found the stock on XOX network berhad (XOX) in which had a
price of RM0.01 per unit. Out of excitement to buy the stock, I had bought 50,000 units of
shares with the price of RM0.01 per unit. The outcome was positive since the price went up
after 5 days with the price of RM0.02 per share. Out of happiness and excitement, I sold all
the stocks of XOX with the price of RM0.02 per unit. I did the same with other newly
established company in Bursa Saham Malaysia such as Hong Seng Berhad, BCM Alliance
berhad, and Nexgram berhad. I purchased their cheapest stock with the highest volume of
unit. In the end of the trade, I gained RM16,000 with this strategy and having previous losses
had been covered by the profit that I gained.
3.0 INVESTMENT AND TRADING ACTIVITIES
3.1 Fundamental analysis
Fundamental analysis is defined as a method to analyse the behaviour of the stocks by
taking account of the economic and financial factor of the companies that is being analysed.
Based on the annual report produced by Air Asia X Berhad, it shows that their
financial stability is in a good hand. Their revenue from the year 2022 until 2023 shows that
it shows a significant increase which increases from RM825,860 in 2022 to RM2,527,096 in
2023. Based on this figure, I had decided to invest in the company by buying 100 units first in
the first period of trade. The trade went well and I sold all the unit in which resulting in
profit. However, another trade that I did afterwards result in significant loss to which I had to
give up on this investment due to the fear of getting more losses. I relied on fundamental
analysis the least since the outcome of every investment decision I made from this analysis
result in loss.
3.2 Technical analysis
Technical analysis is defined as an analysis to track the future movement of stock
price that is being evaluated. The technical analysis is the most used method I did when
evaluating my equity investment portfolio.
Figure 1: XOX Berhad
Figure 1 shows that the candlestick chart of XOX Berhad is in a constant price after
reaching from RM0.010 to RM0.015. This price increase is after I had invested inside the
bursa Malaysia website. After I saw the increment in the price level. I immediately sell the
stock to gain profit even it only gained RM0.005 in price due to the high volume of stock that
I had purchased could give me enough return to generate profit. I gained a total of RM5000
out of the trade that day.
Figure 2: AAX Berhad
Figure above shows the candlestick chart for AAX Berhad. According to the chart, the
price shows a gradual increase from 29 th of April to 7th of May 2024. This leads to the selling
of the stocks at 7th may as it shows a significant increase in price which causes me to have a
profit in the portfolio
3.3 Diversification and profit maximization
Based on my portfolio, it is shown that the investment that I have invested consist of
various Stocks of different industries from airlines and airports to mobile telecommunication
company. All the industries that I had invested in is evaluated based on the technical and
fundamental analysis that I had conducted.
As for the profit maximization, the volume of the stock that I invested helps me a lot
in gaining the most profit. This is because the price of the gain is very small to which I have
to resolve into this method. In the end, I had gained a total profit of RM16,000
4.0 CONCLUSION
In conclusion, the experience of mine in using the mock trading platform is very
good. There is many benefits that I have gained in using this platform such as learning hot to
make decision on my equity portfolio based on the technical analysis chart that I did to
reduce loss and maximize the profit of my portfolio. Not only that, I have learned how to be
patience and hold my investment when the price seems to be decreasing and hold the stock
until it is good enough to be sold. I have also learned how to maximize my profit when the
price increase just a small amount of cent by increasing the volume of investments that I had
purchased.
5.0 REFERENCE
Hayes, A. (n.d.). Technical analysis: What it is and how to use it in investing. Investopedia.
https://www.investopedia.com/terms/t/technicalanalysis.asp
Segal, T. (n.d.). Fundamental analysis: Principles, types, and how to use it. Investopedia.
https://www.investopedia.com/terms/f/fundamentalanalysis.asp
Bursa Marketplace. Bursa Marketplace - Learn, Try & Apply. (n.d.).
https://www.bursamarketplace.com/
6.0 APPENDIX
1. Portfolio Report
