Investment Goals Research Articles

ФОРМУВАННЯ ФІНАНСОВО-ІНВЕСТИЦІЙНОГО ПОТЕНЦІАЛУ ПІДПРИЄМСТВА З ПОЗИЦІЇ СТРАТЕГІЧНОГО ПІДХОДУ

The article analyzes approaches to the concepts of "financial potential" and "investment potential", reveals their content and features. Based on the results of a critical analysis of scientific sources, it is justified that the financial and investment potential of the enterprise must be considered as a single definition, which is determined by a set of general characteristics. Based on the conducted research, the author's definition of the concept of "financial and investment potential" of an enterprise is proposed. The financial and investment potential of an enterprise is the ability of an enterprise to accumulate a set of internal and external financial and investment resources, to use them as efficiently as possible for the purpose of obtaining economic benefits, to ensure strategic and tactical development goals. It has been proven that the financial and investment potential of a business entity has a number of varieties. The classification features of the financial and investment potential of the business entity are singled out, namely: according to the time required to achieve a certain value of the financial and investment potential of the business; depending on the degree of realization of the financial and investment potential of the business entity; depending on the method of obtaining information necessary for assessing the financial and investment potential of the business entity; on the basis of the expected results of the realization of the financial and investment potential of the enterprise. The classification of factors affecting the financial and investment potential of a business entity is generalized. The sequence of development and implementation of the strategy for the formation of the financial and investment potential of the enterprise is proposed. It determines the priority directions of development, the sources of investment resources and the sequence of stages of realization of long-term financial and investment goals, which ensure the overall development of the enterprise's activities in the future. The formation of the financial and investment potential of the enterprise in the strategic perspective is aimed at restoring the stable state of enterprises, including as a result of investment. And it includes the effect of the joint action of financial and investment resources, combining current and strategic goals with the possibility of attracting internal and external sources for financial support of the enterprise's investment activities.

ECONOMIC ASSESSMENT OF THE ACTIVITY OF RETAIL INVESTORS ON THE STOCK MARKET

The article examines the activity of a retail investor on the stock market. Issues of economic assessment of their activity and problems of increasing its effectiveness are studied. The dynamics of the share of retail investors in the total volume of trading in the stock market is analyzed. The key factors of growth of retail investors' activity in the stock market are studied. It was determined that the share of retail investors in the volume of trades on the stock market has almost doubled. The factors that caused such a powerful dynamic were analyzed. Two factors such as available investment opportunities and empowerment through information are discussed in detail. An economic assessment of the effectiveness of the activities of retail investors was carried out. The reasons for the negative results of their work on the stock market have been revealed. The importance of developing specific investment goals before starting investment activities on the stock market and adapting investment strategies to them is determined. It is suggested to use paper trading simulators that reproduce the real trading environment. It has been found to allow investors to make virtual trades and track their performance in real time. It is recommended to engage more comprehensive analytical and research platforms that provide tools for charting and price research. This has been proven to allow investors to more effectively analyze market trends, identify potential economic opportunities, and develop effective trading strategies. Possibilities of minimizing transaction costs through the use of ETFs-shares of investment funds, which are often traded on the stock exchange, are considered. As a result of the conducted research, the possibilities of further scientific research on this topic in the direction of using the latest financial programs based on artificial intelligence and comprehensive assessment of the interaction of various sectors of the stock market with their help were considered.

The impact of environmental, social and governance disclosure on stock prices: Empirical research in Vietnam

The aims of this research is to evaluate the impact of Environmental, Social and Governance (ESG) information disclosure (using both financial and non-financial information) on stock prices of businesses in Vietnam; From there, propose recommendations to promote transparent practices and information disclosure about ESG of businesses related activities; Contribute to developing sustainable investment goals in businesses, and the financial market in general. Based on the (Ohlson, 1995) [40] valuation model, and developed by Barth and Clinch (2009) [41] the research was conducted empirically in 30 listed companies in Vietnam in the period 2019–2022. Research results based on the GLS method show that ESG positively impacts stock prices. Additionally, this paper conducted an in-depth analysis of each individual pillar and found that the environmental pillar was considered the most meaningful to market participants. However, the correlation between ESG and stock prices is weakened for environmentally sensitive businesses. This study also makes a valuable contribution to the current literature on non-financial information reporting by using manually collected data and investigating the effects of ESG reporting on market participants in the public system voluntary information disclosure system of an emerging market like Vietnam.

A model for investment type recommender system based on the potential investors based on investors and experts feedback using ANFIS and MNN

This article presents an investment recommender system based on an Adaptive Neuro-Fuzzy Inference System (ANFIS) and pre-trained weights from a Multimodal Neural Network (MNN). The model is designed to support the investment process for the customers and takes into consideration seven factors to implement the proposed investment system model through the customer or potential investor data set. The system takes input from a web-based questionnaire that collects data on investors' preferences and investment goals. The data is then preprocessed and clustered using ETL tools, JMP, MATLAB, and Python. The ANFIS-based recommender system is designed with three inputs and one output and trained using a hybrid approach over three epochs with 188 data pairs and 18 fuzzy rules. The system's performance is evaluated using metrics such as RMSE, accuracy, precision, recall, and F1-score. The system is also designed to incorporate expert feedback and opinions from investors to customize and improve investment recommendations. The article concludes that the proposed ANFIS-based investment recommender system is effective and accurate in generating investment recommendations that meet investors' preferences and goals.Graphical abstract

Research on the Investment Portfolio in Technology and Consumer Goods Industries

This research investigates investment portfolios in the U.S. technology and consumer goods sectors, employing Modern Portfolio Theory (MPT) and the Markowitz Model to analyze and compare their risk-return profiles. The study highlights that the technology sector demonstrates a high-risk and high-return profile, making it attractive for risk-seeking investors aiming for significant gains amidst market volatility. In contrast, the consumer goods sector, with lower volatility, appeals to risk-averse investors who prefer stable and predictable returns. Key findings strongly emphasize the importance of aligning investment choices with individual investor preferences, illustrating how specific industry characteristics can influence investment strategies. The research suggests that investment success is considerably enhanced when portfolios are tailored to match individual risk tolerance and investment goals. This strategic approach provides a robust framework for guiding investors to make informed decisions that reflect their personal preferences and financial objectives, thereby helping them navigate market complexities and enhance portfolio performance.

Built heritage protection and the citizen participation instruments – a case study of the roundhouse in Bydgoszcz

In the reality of private properties embedded in a free market economy, the very fact of providing an administrative protection to the building of special value can be problematic. The possibilities of challenging and revoking such decisions are often used by property owners. Conflicts between the conservator – a state administration official trying to provide legal protection to a monument – and the owner – an investor who pushes to achieve the intended investment goal regardless of the cultural value of the place – are extremely strong. It is worth noting, however, that according to the provisions of Article 5 of the Constitution of the Republic of Poland, the direct stakeholder of the preservation of the cultural heritage is the entire society. Therefore, it is worth analysing whether public opinion is considered during conflict situations related to the protection of built heritage. To this end, a case study was conducted, that considered a conflict situation occurring during the procedure of entering the former tender building (roundhouse) into the Register of Immovable Monuments of the Kuyavian-Pomeranian Voivodeship.

Portfolio Design Beta, Alpha, Variance on Inconsistent Stocks in Indonesia LQ45 Index

Optimal portfolios have become a major concern in finance, especially in the investment context. This research aims to explore the concept of an optimal portfolio by applying beta, alpha, and variance methods, as well as considering active and passive strategies. The background of this research involves the ever-evolving complexity of financial markets, where investors are challenged to create portfolios that can provide optimal returns with acceptable levels of risk. This research aims to identify and analyze the factors that influence the formation of an optimal portfolio. The methods used include beta measurement as a measure of systematic risk, alpha calculation as an additional performance measure, and using variance to measure portfolio volatility. Active and passive strategies are then applied to understand the impact of strategy choices on portfolio performance. The findings of this research highlight the importance of understanding market dynamics and effective strategies to achieve investment goals. This research provides in-depth insight into how to use beta, alpha, and variance methods in an integrated manner to design optimal portfolios with strategies that suit investor preferences and goals. The contribution of this research lies in presenting a comprehensive framework for developing optimal portfolios, combining elements of active and passive strategies. The results of this research can provide practical guidance for investors in making more informed investment decisions and can improve their portfolio performance.

Old age care fund helps to manage their funds In easy way

Abstract: A Old Age Care Funds is a sort of investment vehicle in which the combined capital of several participants is used to purchase a diverse range of bonds, equities, and other securities. Funds, which are professionally managed, give people the chance to invest in a variety of assets without having to handle them themselves. The value of the Fund shares that investors purchase varies according to how well the underlying assets perform. Funds are well-liked by both rookie and seasoned investors because they offer diversity, liquidity, and expert management. Diverse mutual fund categories, such as stock, bond, money market, and hybrid funds, are available to suit varying investment goals and risk tolerances. Investors can select funds according to their risk tolerance, time horizon, and financial objectives. Securities regulators supervise mutual funds to maintain transparency and safeguard the interests of investors. They are now an essential instrument for people to develop a diversified investment portfolio and engage in the financial markets. Old Age Care Fund portfolio analysis is an important component of investment management that includes a variety of approaches for evaluating the performance, risk, and composition of investment portfolios. The efficient market hypothesis (EMH) states that markets are efficient and reflect all available information, making it difficult for fund managers to regularly outperform the market, according to Malkiel and Fame (1970). Jensen (1968) proposed the Capital Asset Pricing Model (CAPM), which emphasizes risk-adjusted returns and the identification of alpha, which indicates a fund manager’s capacity to create excess returns above the market. IndexTerms – Python, Powet-BI, Data Analysis.

MUTUAL FUND PORTFOLIO ANALYSIS

Abstract — Mutual funds serve as popular investment vehicles due to their potential for diversification and professional management. However, choosing the right funds and optimizing one’s portfolio allocation can be complex. This project presents a comprehensive Mutual Fund Portfolio Analysis system designed to assist investors in making informed decisions. The system allows users to input their mutual fund holdings, tracking them over time to assess performance. It offers a range of analytical tools, including portfolio diversification analysis, risk assessment, and comparison against relevant benchmark indices. These features provide investors with a holistic view of their portfolio’s performance and risk profile. Moreover, the system employs advanced algorithms to generate personalized recommendations for optimizing the portfolio based on the user’s investment goals and risk tolerance. These recommendations aim to enhance returns while managing risk effectively. By utilizing this system, investors can gain deeper insights into their mutual fund investments, enabling them to make well-informed decisions. Ultimately, this project aims to empower investors to achieve their financial goals through strategic mutual fund portfolio management. Keywords – Mutual funds, Portfolio analysis, Investment decisions, Diversification, Risk assessment, Benchmark comparison, Portfolio optimization, Investment goals, Risk tolerance.

PERFORMANCE EVALUATION OF EXCHANGE TRADED FUNDS (ETFs) IN INDIA: A REVIEW OF SELECTED LITERATURE

The panorama of investment options provided to investors by Exchange Traded Funds (ETFs) and their remarkable rise since their introduction in the nation have made an assessment of existing literature on ETFs in India necessary. In the light of these developments, the present study focuses on previous research conducted by different researchers to comprehend the performance of equity based mutual funds in India. The aim of this paper is to examine the corpus of work that may be found in both national and international peer-reviewed journals, seminars and conference proceedings. It look at abroad range of research on topics such as risk return relationship, investment goals, investment time horizon, investment kind and market volatility that support investing in equity based mutual fund schemes. It has been found that most of the exchange traded funds (ETFs) fared better than their underlying indices.

An analysis of Risk Tolerance of Individual Investor using Gray Relational Analysis Method

Risk tolerance refers to an individual investor's inclination towards embracing fluctuations in investment values in pursuit of higher income. It reflects their capacity to endure such fluctuations and financial goals, time horizon and emotional comfort various including status influenced by factors. Personal preferences and investment choices with circumstances as it helps to regulate, informed investment decisions one's risk tolerance in taking understanding is important. financial situation, investment objectives, knowledge of the financial market, factors like experience, and emotional intelligence contribute to determining one's risk tolerance. Investors' risk tolerance is often assessed through questionnaires or evaluations conducted by financial advisors, which consider factors like attitudes towards risk, investment goals, time horizon, and financial situation. Based on the assessment, investors may be categorized into different risk profiles such as conservative, moderate, or aggressive, with corresponding investment strategies suggested accordingly. It's essential for investors to honestly evaluate and be realistic about their risk tolerance, as overestimating it may lead to excessive risk-taking and potential losses during market downturns, while underestimating it may result in overly conservative investment choices. Regular reviews of risk tolerance are recommended, especially in light of significant life events or market fluctuations. The concept of risk-return trade-off highlights that higher returns are typically associated with higher levels of risk, implying that investors expecting higher returns must be prepared to accept greater potential losses. However, risk tolerance isn't solely determined by financial factors; emotional elements such as fear, anxiety, and market sentiment also influence an investor's tolerance for risk and their behaviour during periods of volatility. Therefore, a comprehensive understanding of risk tolerance encompasses both financial considerations and emotional factors. the GRA (Grey Relational Analysis) approach at its inception, focusing on the concept of the gray gadget. This technique is particularly effective for selection problems involving multiple attributes within a component. The current literature highlights its applicability in addressing problems associated with multiple factors and variables, especially when dealing with complex relationships. The GRA approach is well-suited for resolving issues related to fixing problems, and various types of GRA techniques have been proposed in the field. The introduction of the GRA approach is both straightforward and environmentally friendly, making it a practical choice for addressing complex problems involving multiple variables. Investment Objectives, Time Horizon, Financial Situation, Knowledge and Experience and Liquidity Needs. Risk Assessment Questionnaires, Investment Experience and Knowledge, Financial Situation, Investment Goals and Emotional Attitude Towards Risk. the Rank of GRA for Risk Tolerance of Individual Investors. Liquidity Needs is got the first rank whereas the Low Risk Tolerance is having the Lowest rank.

Analisis Komparatif Risiko dan Return Pada Saham dan Obligasi di Bursa Efek Indonesia: Implikasi Bagi Investor

This study analyzes the characteristics, risk, and return of stocks and bonds in Indonesia. The data used is historical data on stock and bond prices traded on the IDX during a 10-year period, from 2014 to 2024. The analysis methods used are descriptive analysis, t-test, ANOVA, and multiple linear regression. The results of the study show that stocks offer the potential for higher returns than bonds, but also with higher risk. Bonds offer better income stability and lower risk than stocks. The investment decision between stocks and bonds depends on the individual's risk profile and investment goals. Diversification remains an important investment strategy, regardless of risk profile.

Dynamic connectedness of clean energy markets, green markets, and sustainable markets: The role of climate policy uncertainty

This study examines the dynamic connectedness of clean energy, green, and sustainable markets, and determine how climate policy uncertainty affects the level of connectedness in these markets. To this end, we use clean energy and clean technological innovation assets to represent clean energy markets; green bonds and clean cryptocurrency assets to represent green markets; and carbon and sustainability assets to represent sustainable markets. To analyze the connectedness, we apply a novel Quantile Connectedness measure to daily data ranging from January 9th, 2018 to September 11th, 2023. Results reveal a strong interconnectedness of clean energy markets, green markets, and sustainable markets. Results also show that clean energy markets are net transmitters of shocks, green markets are net receivers of shocks, and sustainable markets are both net transmitters and net receivers of shocks. Furthermore, to examine the role of climate policy uncertainty, we employ three different nonlinear methods, namely; the nonparametric causality-in-quantiles, quantile regression, and Kernel-based regularized least squares. Empirical results suggest that climate policy uncertainty has a causal and positive effect on the interconnectedness of clean energy, green, and sustainable markets. These findings are validated by various robustness analyses, and hence, provide vital insights into the risk diversification's goal of investors and portfolio managers.

The analysis of diversification properties of stablecoins through the Shannon entropy measure

The common goal for investors is to minimise the risk and maximise the returns on their investments. This is often achieved through diversification, where investors spread their investments across various assets. This study aims to use the MAD-entropy model to minimise the absolute deviation, maximise the mean return, and maximise the Shannon entropy of the portfolio. The MAD model is used because it is a linear programming model, allowing it to resolve large-scale problems and nonnormally distributed data. Entropy is added to the MAD model because it can better diversify the weight of assets in the portfolios. The analysed portfolios consist of cryptocurrencies, stablecoins, and selected world indices such as the SP500 and FTSE obtained from Yahoo Finance. The models found that stablecoins pegged to the US dollar, followed by stablecoins pegged to gold, are better diversifiers for traditional cryptocurrencies and stocks. These results are probably due to their low volatility compared to the other assets. Findings from this study may assist investors since the MAD-Entropy model outperforms the MAD model by providing more significant portfolio mean returns with minimal risk. Therefore, crypto investors can design a well-diversified portfolio using MAD entropy to reduce unsystematic risk. Further research integrating mad entropy with machine learning techniques may improve accuracy and risk management.

Analysis of the Investment Features of Stocks of Valuation System with Chinese Characteristics Based on Hierarchical Cluster Method

The ultimate goal of stock investment is to achieve profitability, and risk avoidance is the most important foundation for achieving profitability. Accurately evaluating the value of stocks in the market is one of the key factors for successful investment. Under the background of proposing the Valuation System with Chinese Characteristics, a reasonable analysis of the investment features of stocks of Valuation System with Chinese Characteristics can bring opportunities to investors. To this end, first construct the characteristic indices of stocks of Valuation System with Chinese Characteristics — Price Earnings Ratio (PE), Price-to-Book Ratio (PB), and Dividend Yield Ratio. Then, based on the characteristic indices, use the hierarchical cluster method to perform clustering analysis on the stocks of Valuation System with Chinese Characteristics. Afterwards, by optimizing the clustering results, all stocks of Valuation System with Chinese Characteristics were classified into four categories. According to the classification analysis of the investment features of the stocks, it can be concluded that the issuing company of the first category of stocks has recently been operating poorly, so it is not recommended to invest; The value of stocks in the second category is overestimated and it is not recommended to invest; The third category of stocks are high growth stocks, and it is recommended to invest with caution; The stocks in the fourth category have the characteristics of undervaluation and high dividends, and it is recommended to invest.

Impact of Fintech on Investment Banking

Fintech, which stands for financial technology, has emerged as a disruptive force in various industries, and its impact on investment banking has been particularly profound. The rapid advancement of technology, coupled with the growing demand for more efficient and accessible financial services, has paved the way for innovative fintech applications within the investment banking sector. Fintech platforms offer advanced data analytics, artificial intelligence (AI), and machine learning tools that enable investors to process vast amounts of information and make data-driven investment decisions. This has not only increased the speed and accuracy of investment research but has also levelled the playing field, allowing smaller investors and even individual retail investors to access high-quality research previously reserved for institutional players. Another area where fintech applications are transforming investment banking is in the realm of online trading. Fintech platforms provide seamless and user-friendly interfaces that allow investors to execute trades on a real-time basis. The integration of AI algorithms and robo-advisory services within these platforms has expanded the reach of automated investment advice, enabling investors to receive personalized recommendations based on their investment goals, risk appetite, and financial constraints. fintech platforms have introduced alternative methods of capital formation, such as crowdfunding and peer-to-peer lending. This has not only reduced costs but has also increased access to capital for small and medium-sized enterprises (SMEs) and startups, fostering innovation and entrepreneurial activity. As technology continues to advance and regulatory frameworks adapt, investment banking is likely to witness even more profound changes, driving innovation and shaping the future of the industry.

Совершенствование методов анализа и оценки эффективности «зеленых» инвестиций

The relevance of the methods for analyzing and evaluating the effectiveness of «green» investments development due to the insufficient scientific validity of the approaches used today, because of which there is a risk of incorrect assessment of projects and investment expectations. The article proposes an author’s modification of the methodology for analyzing and evaluating the effectiveness of «green» investments, based on the calculation of a complex index and an aggregated assessment of a set of factors of financial efficiency; financial stability; social efficiency; environmental efficiency, as well as the use of the decoupling index to monitor the achievement of “green” investment goals.

The Assessment of Investment Habits Among College Students

The purpose of the research project is to look into college students’ financial practises. College Students’ investment preferences, practices, and attitudes towards various investment possibilities will be investigated in this study. With an emphasis on understanding college students’ financial habits in terms of their investment choices, risk tolerance, investment goals, and awareness of various investment possibilities, the research will be carried out through surveys and data analysis. The results of this study will advance knowledge of college students’ investment practises and offer guidance to financial institutions, educators, and regulators as they build plans and initiatives to encourage young investors to make responsible financial decisions.The project will investigate the elements-such as financial literacy, familial history, and investment knowledge-that affect college students’ investment choices. Additionally, the study will look at college students’ levels of knowledge and comprehension of the risks associated with investing as well as how they view the advantages and disadvantages of various investment options. The findings of this study will offer insightful information about college students’ investment practices, which may be utilized to create specialized financial education programs and investment methods to assist nascent investors in making wise financial decisions.

Using Operations Research to Solve the Idea of Company Investment Resource Allocation

This paper mainly through the operation research method to optimize the allocation efficiency of enterprise investment resources. First, the linear planning strategy is used to achieve the balanced optimization of portfolio risk and return. Second, the market situation assessment helps to make investment decisions. Then, the decision tree means is used to judge the core risk elements, so as to build targeted risk control measures. Finally, according to various market backgrounds, with the help of sensitivity analysis, the performance of the investment plan is evaluated to realize the optimization of the investment strategy. Using these methods will help enterprises achieve investment goals, optimize investment strategies, reduce risks and improve returns.

Methodological provision of analysis of the efficiency of investment activities of enterprises

The paper is devoted to the disclosure of the main provisions of methodological support for the analysis of the investment activity of enterprises and practical recommendations on the use of methods for evaluating the effectiveness of the implementation of investment projects for decision-making. Making investment decisions is based on the use of various formalized and informal methods and models, taking into account the following factors: changes in the value of money over time; alternative value of resources; cash flows generated by the project; uncertainty and risk; inflation, price changes and currency exchange rate fluctuations; investment goals and investor psychology; possible changes in project parameters; synergies between investment projects of the enterprise. When forming the list of monitoring indicators, those aspects of the business entity's investment activity that are most important for owners, investors and management organizers were highlighted. It is proposed to form a system of performance indicators of the enterprise's investment activity in accordance with the sphere of investment: production, marketing, technology, organization. The principles of investment activity analysis and recommendations on the procedures for analyzing the effectiveness of project implementation have been formed, the choice of which depends on the management goals aimed at achieving a stable cash flow and ensuring the financial stability of the enterprise. The essential characteristics, advantages and disadvantages of the existing approaches to evaluating the effectiveness of investment projects are revealed. A system of indicators and criteria for the analysis of the effectiveness of investment activities of indicators characterizing the effectiveness of investments depending on the sphere of investment of funds: production, marketing, technology, organization are proposed. Recommendations for choosing a specific method for evaluating the effectiveness of investment projects in the context of achieving the priority goal - maximizing project profitability, risk acceptability and investors' interests are substantiated.