| dc.description.abstract | This essay includes fundamental analysis, technical analysis and asset allocation. In fundamental analysis part, we use Ohlson valuation model to connect accounting information and stock price. We can evaluate an intrinsic stock price through valuation model and compare with real stock price, and then we can know what’s stock is under price or overprice. When we know that, we can buy the under price stock and sell the overprice stock at the same time, by this way we can get an abnormal return. In technical analysis part, we focus on MA, KD and RSI indication. In asset allocation part, we evaluate the best weight on each asset through Mean-Variance model.
The samples in this essay are focus on telecom industry in Taiwan. The result is that the stock price evaluated by Ohlson valuation model is useful. We can set an investment strategy using the bias between intrinsic stock price and real stock price and can get abnormal return. We also can get abnormal return by technical analysis. RSI indication is the best tool in technical analysis. Last, when we use asset allocation strategy to invest, we try to rebalance each three months. In whole research period, there are 24 trade times, and only 6 times is negative return, and there are 15 times that performance is higher than index. We can say that the tradition M-V model is still useful on telecom industry in Taiwan. | en_US |