While Bus-a-Bus was clearly referring to the wisdom of investing with professional managers, today’s article focuses on the wisdom professional managers rely on: modern portfolio theory (MPT).

This approach is rooted in the modern portfolio theory (MPT) introduced by Harry Markowitz in the 1950s, emphasising diversification and strategic asset allocation. Also read: Risk: An underrated ...

Some risks are controllable, like personal habits, while others, like climate change and nuclear war, are beyond individual ...

Harry Markowitz’s Modern Portfolio Theory (MPT) also propagates the idea of diversification. It needs to be done not just within a respective asset class, but across asset classes. This is where ...

With the anniversary of the first lockdown approaching, inflation and market volatility are now facts of financial life ...

Robo-advisors construct well-diversified portfolios that often follow the principles of Modern Portfolio Theory (MPT). MPT's premise is that all portfolios, including aggressive ones, should be ...

The See-Saw Is Starting To Work Paying homage to Modern Portfolio Theory [MPT] economist Harry Markowitz and the work of William Sharpe, Jack Treynor, John Lintner, and Jan Mossin, when it comes ...

The risk-free rate of return is an important building block for modern portfolio theory (MPT). As referenced in the figure below, the risk-free rate is the baseline where the lowest return can be ...

This includes a review of Modern Portfolio Theory (MPT) and its influence on the evolution and role of indexing in investment management, a deep dive into best practices in index (portfolio) ...