Portfolio Allocation

Interactive example programmed by Arnob Alam.

Two Interactive Portfolio Optimization Problems. The first is the simpler info-metrics model of Chapter 5 (model 5.4). The second one generalizes the first to allow for short selling. That model is based on derivations in Chapters 9, 12 and 13. In both cases the optimal portfolio weights are presented. Negative weight means short selling of that fund/commodity. Costs of short selling are ignored here. The data are live-stream data taken from Google Finance and goes back 10 years. Users can enter their own funds (either individual stocks or exchange traded funds) by entering the ticker symbol (e.g. AAPL) and the name (e.g. Apple) in the entry fields.