Download This PaperGetting More Out of Two-Asset Portfolios
10 Pages Posted: 24 Aug 2006
There are 2 versions of this paper
Abstract
Two-asset portfolio mathematics is a fixture in many introductory finance and investment courses. However, the actual development of the efficient frontier and capital market line are generally left to a heuristic discussion with diagrams. In this article, the mathematics for calculating these attributes of two-asset portfolios are introduced in a framework intended for the undergraduate classroom.
JEL Classification: G10, G11
Suggested Citation: Suggested Citation
Do you have a job opening that you would like to promote on SSRN?
Recommended Papers
-
Incomplete Information Equilibria: Separation Theorems and Other Myths
-
Incomplete Information Equilibria: Separation Theorems and Other Myths
-
Production and the Real Rate of Interest: A Sample Path Equilibrium
-
Simple Construction of the Efficient Frontier
By David Feldman and Haim Reisman
-
Simple Construction of the Efficient Frontier
By David Feldman and Haim Reisman
-
Is Learning a Dimension of Risk?
By Massimo Massa and Andrei Simonov
-
The Effect of Information Quality on Optimal Portfolio Choice
-
Belief-Dependent Utilities, Aversion to State-Uncertainty and Asset Prices
-
Belief-Dependent Utilities, Aversion to State-Uncertainty and Asset Prices