Author(s)

Tonghui Zhang

Corresponding Author

Tonghui Zhang

ABSTRACT

In recent years, the automobile industry is developing well, and the annual sales of cars are increasing year by year. Through the summary of all aspects of performance indicators of automobile companies, I have conducted a comprehensive multi-dimensional analysis of these companies to prove their value. In order to make the data and results as comprehensive as possible, I select nearly 20 stocks from seven segments for analysis. Under Markowitz’s efficient frontier theory, I get the effective frontier map of the selected stock and the weight of each stock under the predetermined return. At the same time, I also make detailed suggestions on the buying and selling behavior of investors and the number of stocks they buy and sell. Investors can decide which portfolio to choose according to their own risk preference. It is hoped that this paper can help investors understand the automobile market, configure their own investment portfolios through effective frontier methods.

KEYWORDS

Efficient frontier, Chinese automobile industry