An Empirical Study On The Construction Of Investment Portfolio Based On Value Investment Theory

Since the capital market,"income" and "risk" is the main concern of investors.How to get excess returns in the risk control has been the focus of the industry and academia research.After the great success of Warren Buffett through the value investment strategy,people began to pay attention to the application of value investment in investment portfolio.Based on the domestic and foreign research,this paper makes an empirical study on the construction of investment portfolio based on the theory of value investment,from the basic concepts and related theories of value investment and investment portfolio.Through this research,to further enrich the research on the value of the investment and portfolio construction in China,to provide some reference for investors to make investment decisions,improve the anti-risk ability of investors,and promote the sustainable development of China’s socialist market economy.Through the research of this paper,the main conclusions are as follows:(1)the factors that affect the intrinsic value of listed companies are the basic factors,policy factors and industry factors.(2)suitable for China’s investment value indicators are mainly management stock quantity,earnings,and EBIT,quick ratio,asset liability ratio,net profit growth rate,free cash flow,total assets and regional property;(3)In the daily at the market,based on the "value investing stock + mean variance weighting" portfolio strategy,not only can obtain excess returns in the stock market upward phase,also can obtain excess returns in the stock market downturn stage;can profit,also can stop;is suitable for long term investment strategy;(4)with the stock index futures in China and the development of ETF industry,is based on the value investment,investment portfolio strategy based on Alfa and Berta will hedge.Have a brilliant future in China’s stock market.