Securities Portfolio Construction Theory And Method

Portfolio theory is an extremely attractive segment in finance domain and even the whole economics domain. The magic power not only originated from the strictness of portfolio theory, but also came from the usefulness. On the analysis of portfolio theory and its construction approach, this article dissusses the feasibility of using the theory in domestic market, and puts foward the stratgey, the approach and the process of portfolio construction.The dissertation is dix~ded into four parts.Chapter one introduces the classic portfolio theor and its recent development.Chapter two analyzes the basic strategy of constructing portfolio theorv which includes the principles of constructing portfolio, the selection methods of asset types and the problems which we should pa~?attention in constructing portfolio in domestic stock market.Chapter three makes the profound analysis on the classification and selection of bond and stock, the selection of single stock. Especially, by the use of SPSS, section two analyzes 95 stocks selected in domestic stock market and concludes a new stock classification method ?he classification on price behavior.Chapter four studies in depth the methods and models which define the weight of each stock.