A Dynamic Spreadsheet Model for Determining the Portfolio Frontier for BSE30 Stocks

Introductory investments courses revolve around Harry Markowitz’s modern portfolio theory and William Sharpe’s Index for the performance measurement of those portfolios. This paper presents a simplified perspective of Markowitz’s contributions to Modern Portfolio Theory. It is to see the effect of d...

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Detalles Bibliográficos
Autores: Mitra, Dr. Anupam, Khanna, Mr. Punneet
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2014
País:Brasil
Institución:Instituto Federal de Educação, Ciência e Tecnologia de São Paulo (IFSP)
Repositorio:Independent Journal of Management & Production
Idioma:inglés
OAI Identifier:oai:www.ijmp.jor.br:article/132
Acceso en línea:http://www.ijmp.jor.br/index.php/ijmp/article/view/132
Access Level:acceso abierto
Palabra clave:Markowitz Portfolio Theory
Sharpe Ratio
BSE
Stocks
India
Descripción
Sumario:Introductory investments courses revolve around Harry Markowitz’s modern portfolio theory and William Sharpe’s Index for the performance measurement of those portfolios. This paper presents a simplified perspective of Markowitz’s contributions to Modern Portfolio Theory. It is to see the effect of duration of historical data on the risk and return of the portfolio and to see the applicability of risk-reward logic. The empirical results also show that short selling may increase the risk of the portfolio when the investor is instability preferred.