1) Each position (buy) you take in an asset mustbe a min...

1)  Each position (buy) you take in an asset mustbe a minimum of 5% and a maximum of 10% of your totalportfolio assets.(2)  Cash must NOT exceed 20% of your portfolio atany time. You MUST be investing, not sitting on the sidelines. Bythe end of Week One, your client (me) MUST have a 2-3 page double-spaced paperexplaining your philosophy, process, and the initial positions and allocationsyou have chosen for your portfolio (portfolio statement), following the tworules above. Here are your portfolio options that Ihave set up for you:
Startingbalance for players: $2,500,000.00 Commission: $10.00 CreditInterest Rate: 3.00% LeverageDebt Interest Rate: 6.00% MinimumStock Price: $2.00 MaximumStock Price: $500,000.00 TradingVolume Limit: 1.00% ShortSelling: Enabled MarginTrading: Enabled  The final project will be due nolater than midnight on the final day of class and is worth 200 points. Yourpaper and portfolio will be measured on the following three elements by yourclient (me, again): (1)  Absolute return – the total dollar amount thatyour portfolio increased over the trading period and(2)  Risk-adjusted return – the return on the portfoliotaking into account the level of risk you assumed as measured by the SharpeRatio. (3)  A 3-4 page, double-spaced paper about yourexperience with this game that addresses at least the following questions:a)    Which positionsexceeded your expectations and what conditions caused this?b)   Which positionsunderperformed for you and what factors created the performance gap?c)    What were the keythings you learned from your Virtual Stock Exchange simulation and how will itinfluence your personal investing in the future?