There is a misconception that allocating portfolios is simply a matter of running portfolio optimization software to find the “efficient frontier,” or the highest expected return for the lowest level ...

Cierra Murry is an expert in banking, credit cards, investing, loans, mortgages, and real estate. She is a banking consultant, loan signing agent, and arbitrator with more than 15 years of experience ...

Efficient frontier visualizes optimal portfolios by balancing returns with risk. Portfolios right of the efficient frontier yield poorer returns for higher risk. Robo-advisors use this model to ...

Cutting to the chase, we find that 17.5% floating exposure acts to minimise interest rate volatility when compared with a reference of 10yr Fixed. Interest rate costs are also reduced, from 4.5% to ...

Markowitz introduced portfolio selection, also known as the modern portfolio theory, in 1952. He was the pioneer who showed how to reduce the variance of the investment portfolio via diversification.

The efficient frontier is defined as the set of portfolios which maximizes expected return for a given level of risk. The theory was developed by Nobel laureate and economist, Harry Markowitz, and has ...