correctly, total return will be $280,073.40.

appreciation and dividends received.  If you optimize your model

YOUR MISSION:  Maximize total return, which is the sum of price



expect each stock to appreciate over the next year.

Through your own analysis, you have determined how much you



        if every stock in your portfolio drops to its support price.

        must be structured so that no more than $150,000 will be lost

        the prices of the stocks are not expected to fall.  Your portfolio

        "Support Prices" for the recommended stocks, below which

 5)  Hi-Lo's Research Department has provided you with a list of



 4)  The portfolio shall have a minimum dividend yield of 3.00%.



         always 1.00.

         value means greater volatility, and the beta of the market is 

         weighted average beta of the individual stocks.  A higher beta

         To calculate the portfolio's beta, simply compute the dollar-

         stock has been provided by Hi-Lo's research department.

         volatile than the market as a whole.  The beta value for each

 3)  The portfolio, as measured by "beta", must not be more



        one stock.

 2)  No more than 15% of the portfolio may be invested in any



         list".

 1)  You must invest only in stocks on the firms "recommended



limitations:

The Investment Policy Committee has given you a variety of



portfolio.

account in the stock market so as to yield the most profitable

Hi-Lo Investment Corporation.  Your job is to invest a $1,630,000

Welcome to your first day on the job as portfolio manager for the



>> This example is too large to be solved by the demo version. <<