The efficient frontier is a graph that represents the most “efficient” or risk-optimized portfolio allocation for various anticipated returns. Financial experts plot an efficient frontier by ...

The efficient frontier uses CAPM to help create an efficient portfolio that tells an investor the optimal percentage of investment in each asset that will create the best theoretical return for a ...

Time-weighted rate of return is a measure of a portfolio’s compound rate of return that controls for the inflow and outflow of cash. The efficient frontier is a graphic representation of the ...

The efficient frontier. Applying MPT to your portfolio. At the core of Modern Portfolio Theory lies the concept of diversification. For most investors, this principle resonates intuitively - by ...