The financial literature has flourished since the transplantation of the portfolio concept to the arena of national and international financial analysis and decision making. Introduced in the early 1950s by Markowitz, portfolio theory was applied during the 1960s to the analysis of the behavior of investors within the context of a single equity market. It was only during the last decade that the portfolio concept was used to provide a theoretical framework for the international approach to investment management, which had rapidly gained acceptance following the general elimination of exchange and capital controls.
Characteristics of international portfolio diversification, has a relatively low degree of co-movement between the returns of different assets or markets enables investors to reduce the variability of their overall performance by shifting their investment strategy from a single market-asset approach toward diversification into several markets or assets. Also its composition of an optimally diversified portfolio is not unique.It depends on investors’ point of view and also fluctuates over time due to the instability of the correlations of returns of different market or assets. These pair of time series, namely WIG and WIG20 First to get the best fit: And model was built for each component of bivariate time series. Then the described procedure of fitting copula and obtaining conditional dependence parameter was applied. In order to do this, the interval [0. 1] of the values of univariate distribution function was divided into 4 sub-intervals allows us to concentrate on tails of the distributions.Therefore we obtained 16 disjoint areas for each area the conditional dependence parameter was estimated using different copula function.
From these results we can see that there is a strong conditional dependence between returns on WIG and WIG20; the values of conditional dependence parameter monotonically decrease with the departure from the main diagonal. This property is not observed in the other study where no significant regular patterns can be identified.Presented here only some selected non-classical methods of the analysis of financial time series, they proved some usefulness for real data. It seems that the plausible future direction of the research would be the integration of econometric methods, aimed at studying the dynamic properties with statistical methods, aimed at studying the distributional properties.
Optimal distribution must always be aware of the areas where there is a team uncertainty, among with possible considerable negative consequences.After identifying these blockages its access must be able to locate this under project jeopardy which is the outcome of events, probabilities and consequences, to avoid these risk is to have a complex goals in your project. Understanding the risk we can choose which risk are acceptable means they can have a benefits from this risk or simply solve immediately for it will have affect on the estimated schedule of the project. Proper explanation objectives and high level dedication to these goals with its team and stakeholders, their support to this project will be of assistance in assuring its success.
The project plan allocates numerous members of the company as well as its sub offices employees as long as those people are knowledgeable in the procedure at any given point. It is an archival role in helping others to understand the project. Just assure there is room for the improving to be able to accomplish more. The process is to be able to help the organization, its employee and most especially giving a better service to the clients. Its optimal portfolio had formed great waves in the industry.It was acknowledged with a wide thought from a numerous giant industry and with the public consumers; they will be the one to continue stiff focus on the quality of its products, service of its channel and its support that distinguish or the later business. Its success deals globally, so the firm will have to look for a partner that will give them new opportunities by being competent in its market through reaching efficiency in terms of its service.
The main goal of their merger is for further innovation of their products. Though with in terms of their channels product will continue to circulate in their local market and it will maintain to progress according to its original markets. For all products have its own designated route and the companies will continue to follow this system. To lower their cost of capital by tapping international sources, portfolio investors must have a rationale for holding foreign securities in their portfolio.The genesis of such a rationale sprang from domestic portfolio theory as developed by Markowitz and refined by Sharpe and Linter in the early 1960s.
If capital market is partially segmented, investors cannot gain the full benefit from international portfolio diversification, and firms cannot fully lower their cost of capital be selling their securities to foreign investors. A national capital market can be segmented because of government interference and or because of investor perception.