Tag Archives: Solver
Modern Portfolio Theory: Creating the Capital Allocation Line
In our third installment of the Modern Portfolio Theory series, we will be constructing the Capital Allocation Line, or CAL. In a way, the CAL is an extension of the efficient frontier. CAL takes into account a risk-free asset. In theory there is no risk free asset, so we use what is known as a […]
Modern Portfolio Theory: Developing a Global Minimum Variance Portfolio (GMV) in Excel
This is the first installment in a series of posts dedicated to “Modern Portfolio Theory”. In this post, I will show you how to build a Global Minimum Variance (GMV) Portfolio in Microsoft Excel. The GMV Portfolio is the portfolio with the highest return and the least risk. It takes into account all securities available and uses […]
The Financial Intern 