|You have been hired by a professional fund manager to prepare a report for a client which incorporates the following two tasks.
Task 1: Prepare a MS Word report with RMarkdown analysing the yearly excess returns from Yahoo finance for the components of the FTSE100 for the period 1st January 2000 to 31st December 2020. As part of the analysis, pre-process the data and identify the stocks that satisfy particular criteria (highest excess return, highest volatility, lowest volatility, highest volume, lowest volume). Finally, do an analysis and discuss whether the excess returns differ between (a) high-volatility and low-volatility groups of stocks, and (b) high-liquidity and low-liquidity (volume) groups of stocks.
Task 2: Prepare a MS Word report with RMarkdown analysing and discussing the effect of uncertainty on the UK stock market returns and volatility.
Please refer to the ‘supplementary information’ for detailed guidance about each task, including details of the requirements for each stage of the process.
Both Tasks (Task 1 and Task 2) should be included in the same MS Word file which must include the following:
a. Title. Provide your own title.
b. Introduction: a brief description of what is included in the report.
c. Brief discussion of the workings and output for each task. The code, any code-related comments or any warnings from the execution of the code should not be visible when you create the MS Word from RMarkdown.
The total number of words in the MS Word file should be no more than 1,000 words. There is no word limit for the .RMD script file.
Submitting your files:
You must submit two files, as follows:
1. An .RMD file where you create your report. The name of your file must be your student ID only (e.g. 123456789.RMD).
2. The MS Word document that is created when you execute the .RMD file. The name of the MS Word file must be your student ID only (e.g. 123456789.doc). Before you submit that, copy and paste in the first page your coversheet. Do not alter anything else in the MS Word.
All coursework assignments that contribute to the assessment of a module are subject to a word limit, as specified in the online module handbook in the relevant module area of the MINERVA. The word limit is an extremely important aspect of good academic practice, and must be adhered to. Unless stated specifically otherwise in the relevant module handbook, the word count includes EVERYTHING (i.e. all text in the main body of the assignment including summaries, subtitles, contents pages, tables, supportive material whether in footnotes or in-text references) except the main title, reference list and/or bibliography and any appendices. It is not acceptable to present matters of substance, which should be included in the main body of the text, in the appendices (“appendix abuse”). It is not acceptable to attempt to hide words in graphs and diagrams; only text which is strictly necessary should be included in graphs and diagrams.
You are required to adhere to the word limit specified and state an accurate word count on the cover page of your assignment brief. Your declared word count must be accurate, and should not mislead. Making a fraudulent statement concerning the work submitted for assessment could be considered academic malpractice and investigated as such. If the amount of work submitted is higher than that specified by the word limit or that declared on your word count, this may be reflected in the mark awarded and noted through individual feedback given to you.