https://aplusnursingexperts.com/wp-content/uploads/2019/10/LOGO-APLUS-300x60.png 0 0 David Munene https://aplusnursingexperts.com/wp-content/uploads/2019/10/LOGO-APLUS-300x60.png David Munene2019-06-29 01:28:182019-06-29 01:28:18Modern portfolio theories’ (MPTs)
Modern portfolio theories’ (MPTs)
Modern portfolio theories’ (MPTs) currency is high in academia and among business students, but has enjoyed a lukewarm reception in the investment community. In this article, Drobetz (2001) delivers a brilliant lesson as to why the Black-Litterman approach to portfolio optimization trumps standard portfolio theory.
- Identify and analyze the deficiencies in standard portfolio theory.
- Of the five alternatives to computing the variance-covariance matrix, which alternative is most appropriate for your model?