Explaining The Efficient Frontier



Next video:
Loading the player...

The “Efficient Frontier” is a modern portfolio theory tool that shows investors the best possible return they can expect from their portfolio, given the level of risk that they’re willing to accept.


Related Videos

  1. The Nash Equilibrium

    Nash Equilibrium is a key concept of game theory, which helps explain how people and groups approach complex decisions. Named after renowned mathematician John Nash, the idea of Nash Equilibrium has been used in such diverse fields as international relations, psychology and economics. Game theory in general looks at how individuals or groups make choices that will in turn affect the choices of other parties.
  2. Volatility

    Learn more about this statistical measure and how it affects the dispersion of returns.
  3. Leverage

    Learn more on how leveraged investing can help you with higher investment profits through the use of borrowed money.
  4. Opportunity Cost

    Every action has a cost, even the ones you don't pursue. Find out how this is calculated.
  5. Understanding Internal Rate Of Return

    Internal rate of return, or IRR, is one of the most popular methods of evaluating potential projects. Learn more about this important metric.
  6. How To Calculate Return On Investment (ROI)

    Return on investment allows an investor to evaluate the performance of an investment and compare it to others in his or her portfolio. Find out how to calculate ROI and how to use to your advantage.

comments powered by Disqus
Trading Center