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?
An asset class is a grouping of investments that exhibit similar characteristics and are subject to the same laws and regulations.
The most common differentiation of asset-classes within Investments are Equities (Stocks), Listed Property (Real-Estate), Bonds (Debt), and, Cash (currency). On EquitySim we also split out ETF's from Stocks and consider them their own asset class, and you do not have the ability to invest in real estate.
A primary characteristic associated with Asset classes is the risk-profiles of each class, this is usually defined by how the asset class performs given the current economic circumstances.
Depending on the economic circumstances different asset classes will outperform the other. In times of high economic growth, Equities should outperform, in times of low economic growth Bonds should outperform, and in times of economic turmoil, Cash should outperform. Managing your exposure to these asset classes enable you to manage how your diversified you are against these different economic scenarios.
Performance vs Risk Environment
In terms of risk-profile, from riskiest to least riskiest the general ranking is:
Equities -> Debt -> Cash
While these are not always the case for individual investments in each class (ie, there are definitely some bonds that are much risker than some equities), asset classes give you a way of thinking about investment strategy in a very high-level manner.
Creating Asset-Class Exposure
Diversification theory shows that combining different asset-classes give you higher risk-return ratios. You can invest find different asset-classes on EquitySim by using our Trade screeners: