Yolanda Primrosa Nurhan

201700212

Journal 2 Investment Analysis

I used the arithmetic average return and the geometric mean return to analyze the
average returns of my portfolio. I can’t make any more transactions because I only have $233
cash left on my account. And I don’t want to sell any of my stocks because it’s currently
dropping, the price is currently low. And so I analyze the average return of my portfolio instead.
The data that I used was the closing prices of the stocks from 30 January 2018, which was the
day I bought the socks, until 9 February 2018. These are the result:

Stock Code Arithmetic Average Geometric Mean Delta Percentage

AAPL -0.78% -0.72% 0.06%
JJSF -0.45% -0.42% 0.04%
FB -0.71% -0.67% 0.04%
SBUX -0.57% -0.52% 0.06%
INTC -1.27% -1.15% 0.11%
CSCO -0.79% -0.74% 0.05%
MRK -1.23% -1.11% 0.12%
EXEL -0.91% -0.86% 0.05%
TSN -0.64% -0.58% 0.06%
NFLX -1.33% -1.23% 0.11%

What I can see from the results is that there are only a slight difference between
arithmetic average and geometric average. It means that there are not much price fluctuation
within those 11 days. But this analysis is not accurate because the time range are very small
and we can’t really draw a conclusion based on just these data.