Security	NCM AU Equity	Security	WBC AU Equity
Start Date		Start Date
End Date	31/05/2023 0:00	End Date	31/05/2023 0:00
Period	D	Period	D
Currency	AUD	Currency	AUD
Beta	0.77	Beta	0.88
Date	PX_LAST	Date	PX_LAST
31/05/2023	25.54	31/05/2023	21.095
30/05/2023	25.69	30/05/2023	21.11
29/05/2023	25.76	29/05/2023	21.16
26/05/2023	25.9	26/05/2023	20.92
25/05/2023	26.08	25/05/2023	20.89
24/05/2023	26.59	24/05/2023	21.23
23/05/2023	26.43	23/05/2023	21.26
22/05/2023	26.95	22/05/2023	21.06
19/05/2023	27	19/05/2023	21.23
18/05/2023	27.51	18/05/2023	20.96
17/05/2023	27.8	17/05/2023	20.92
16/05/2023	28.4	16/05/2023	21.13
15/05/2023	28.68	15/05/2023	21.13
12/05/2023	28.25	12/05/2023	21.09
11/05/2023	28.89	11/05/2023	21.13
10/05/2023	29.09	10/05/2023	21.7
9/05/2023	29.39	9/05/2023	21.77
8/05/2023	29.6	8/05/2023	21.74
5/05/2023	29.8	5/05/2023	21.35
4/05/2023	29.16	4/05/2023	21.25
3/05/2023	29.12	3/05/2023	22.16
2/05/2023	28.6	2/05/2023	22.55
1/05/2023	28.5	1/05/2023	22.56
28/04/2023	28.92	28/04/2023	22.47
27/04/2023	28.51	27/04/2023	22.26
26/04/2023	29.11	26/04/2023	22.31
24/04/2023	28.63	24/04/2023	22.25
21/04/2023	28.9	21/04/2023	22.29
20/04/2023	29	20/04/2023	22.57
19/04/2023	29.15	19/04/2023	22.23
18/04/2023	29.23	18/04/2023	22.28
17/04/2023	29.28	17/04/2023	22.26
14/04/2023	29.96	14/04/2023	22.25
13/04/2023	29.4	13/04/2023	22.09
12/04/2023	29.66	12/04/2023	22.12
11/04/2023	29.74	11/04/2023	22.15
6/04/2023	28.28	6/04/2023	21.77
5/04/2023	28.03	5/04/2023	21.78
4/04/2023	27.2	4/04/2023	21.8
3/04/2023	26.37	3/04/2023	21.89
31/03/2023	26.85	31/03/2023	21.66
30/03/2023	26.57	30/03/2023	21.69
29/03/2023	26.61	29/03/2023	21.37
28/03/2023	26.37	28/03/2023	21.53
27/03/2023	26.53	27/03/2023	21.23
24/03/2023	26.27	24/03/2023	21.2
23/03/2023	25.81	23/03/2023	21.33
22/03/2023	25.54	22/03/2023	21.43
21/03/2023	25.81	21/03/2023	21.42
20/03/2023	25.65	20/03/2023	21.12
17/03/2023	24.21	17/03/2023	21.24
16/03/2023	24.75	16/03/2023	21.19
15/03/2023	24.65	15/03/2023	21.65
14/03/2023	24.74	14/03/2023	21.41
13/03/2023	24.02	13/03/2023	21.49
10/03/2023	23.34	10/03/2023	21.79
9/03/2023	23.27	9/03/2023	22.38
8/03/2023	23.25	8/03/2023	22.11
7/03/2023	24.03	7/03/2023	22.37
6/03/2023	23.91	6/03/2023	22.09
3/03/2023	24.07	3/03/2023	21.73
2/03/2023	23.9	2/03/2023	21.64
1/03/2023	23.38	1/03/2023	22.07

Assume you have AUD1,000,000. Create an equally weighted portfolio of your two stocks . Show all calculations and workings. On 30 January 2023, you receive news that highlights instability in the global banking sector and believe there is significant downside risk which may impact your Australian banking stock(s). However, in this environment you believe there will be a flight to safe assets such as gold, and are therefore bullish on your gold stock(s). Devise a strategy that has the following objectives listed below and provide a detailed description of all your transactions and consider all costs. i. Protect the portfolio from adverse movements in the banking stock(s), by using an appropriate options strategy (where the option is held to maturity) from 01/03/2023 (start date) to 18/05/2023 (close out date); and ii. Protect the portfolio from a market downturn whilst maintaining the full exposure to the unsystematic risk in your gold stock(s) from 01/03/2023 (start date) to 18/05/2023 (close out date) (hint: consider the use of a futures contract).

At the end of the period, close all the positions and evaluate the effectiveness of your strategy. Consider your total portfolio returns from inception without the hedging strategies versus the total portfolio returns with the hedging strategies and assess these returns against a relevant benchmark. Was it superior or ineffective?