Your goal in level 2 is to maximize your Sharpe Ratio.
Sharpe Ratio is a formula that measures whether your returns are large enough to compensate for the amount of risk you are taking.
- Sharpe Ratio: Aim for Sharpe Ratio > 1
- Return: Aim for > 3%.
- Rationales: Recruitment Scouts will also evaluate your 5 best rationales
Note: You do not need to accomplish all goals to qualify. We are looking for your ability to learn and improve as the most important criteria.
Candidates found using price delay to increase sharpe ratio will be disqualified:
As this is a simulated environment based-on the real world, not all prices are perfectly accurate. We operate on a 15 minute price delay.
The objective of the simulation is to experiment, learn and to test yourself. You harm your own learning experience by leveraging real-time data to time the market.
Any participants caught leveraging price discrepancies for gain in the challenge will be disqualified from winning internship opportunities.
Tips on how to do well:
- Consider both volatility and return in your investment decisions
- Monitor your portfolio daily
- Keep up with world events and news that could be effecting your investments, reduce risk where you can
- Write rationales to keep track of your thought process, and understanding of the markets (it's okay to not have rationales for everything, just make sure you put some thought in for some)
- Read more about Sharpe Ratio: How does sharpe ratio work?