How-to: Company Pages
How to: Discovery
How-to: Portfolio Holdings
How to: Activity
How to: Leaderboard
How to: Performance
How to: Challenges
How to Trade
What are some basic Financial Vocabulary?
How to get recruited using EquitySim
Fixing Account Errors
My Trade is not being processed
An investment in my portfolio is showing up as $0
Stock splits, mergers + acquisitions
I can't find a specific investment
I can't sign-up
My credit card is being declined
What is a Stock?
How to Choose a Stock
Active Trading vs Portfolio Management
How to start testing multiple strategies
What is Portfolio Management Strategy?
How to Build a Basic ETF Portfolio
What is an ETF?
How to Choose ETFs
What is a Bond?
What is an Option?
What are Trading Strategies?
What is short selling?
Understanding Metrics / Data
What is Diversification?
What is the Diversification Score?
What are asset-classes?
What is Geopolitical Exposure?
What is Industry Diversification?
What is Geographical Diversification?
What is Industry Exposure?
How do I read the Diversification Radar Chart?
How to read impact on diversification
What is a good Sharpe Ratio?
What is Sharpe Ratio?
What are average excess returns?
How to Improve Sharpe Ratio
How do I measure risk?
What is Return?
What is Volatility?
Credit-Suisse Investment Challenge
Recording your Strategies and Rationales
Showcasing your work on EquitySim
Adding structure to your interview answers
Preparing for the interview
Preparing for the Sales + Trading Interview
Credit-Suisse: 2019 Case Study
2019 Credit Suisse Investment Challenge [Fall]
2020 Credit Suisse Investment Challenge [Fall]
2020 Credit Suisse Investment Challenge [Summer]
Host your own EquitySim Challenge
Can users share an account?
How do I export classroom data?
How do I delete, archive and edit my class?
Challenge Setting Types
How does EquitySim compare to other simulations?
What is EquitySim?
Can I undo a trade?
How are prices determined in the simulation?
Why didn't my trade execute immediately?
How do I exchange currency?
Why isn't my ranking showing up?
What are Public Portfolios?
How do I switch between portfolios?
How am I Graded?
Does EquitySim have sample assignments for my curriculum?
How are Options priced in the simulation?
How do I find my daily portfolio change?
How do the Portfolio Emails Work?
Is my data confidential?
How do I delete my account?
How our simulations reflect the real-world
What can I trade on EquitySim?
What is a good rationale?
How to set-up your team
What are the different order types?
Which government bonds can I trade?
It is also important to consider diversification in a more geographical sense. Events that affect one region as a whole may have the opposite effect - or no effect at all - on another region. And more broadly, companies in different regions have different risk/growth profiles according to their respective economic development and the development of their capital markets.
When building your portfolio, you should not only be mindful of the different risks and potential growth opportunities corresponding to each country or region, but also how different market events will impact each region. For this, you'll need a deeper understanding of countries or regions in terms of geopolitics, resources, international trade, etc.
Countries can be grouped and thought about in many ways, but one way to think about them is in terms of economic development. By these standards, countries are also split up into the following categories: Developed Markets, Emerging Markets, and Fringe Markets.
Countries in developed markets have highly developed economies and capital markets. These countries have to meet standards isn terms of economic development, security size and liquidity, and market accessibility. Some examples of developed markets are the US, France, Japan, Hong Kong, and Singapore.Emerging Markets.
Countries in emerging markets are slightly less developed in terms of their economies and capital markets, and are still in the process of development. Investing in these companies usually tends to be a bit riskier, but also has greater potential for faster growth. Some examples of emerging markets are Brazil, Mexico, China, India, and Korea.
Countries considered 'Fringe Markets' have less developed economies than emerging market economies. They tend to be riskier investments but similarly have potential for much larger and faster growth and returns. Some examples of fringe markets include Argentina, Croatia, Vietnam, and Kenya.
It is important to diversify your exposure to all of these regions (or the regions whose risk/reward profile matches your own). You can find more information here: https://www.msci.com/market-classification