With initial exposure to equities, which strategy delivers a better return?

Abstract

More and more people are getting into the investment industry, which is not an easy job for some beginners. Complicated strategies and varied portfolios can often feel overwhelming and also lead investors into one misunderstanding after another. In order to reduce the hassle of investing, this article will pick the four most common and easy-to-understand strategies: momentum investing, comparing PEG ratios, merger arbitrage strategy, and market-neutral trade. From a version of beginner on how to start an investment portfolio. The background of the eight films selected in this paper will be introduced first, mainly about what the film does. Moreover, the uses of the strategy will be present, as the theory behind them. Then, this paper will present detailed progress, including stock price tendency, results, and future improvements. The calculation of PEG ratios and market-neutral strategy will also be included. Finally, a comparison is also made in this paper, which can deliver the feasibility of each strategy base on the four pairs of trades made. It also introduces how a manager new to stocks makes a decision and the results obtained and sums up a strategy that is most suitable for beginners to invest. However, it is just a brief explanation; different investment portfolios need to use different investment strategies and try more to get more returns.