Efficient frontier

Efficient frontier

The combinations of securities portfolios that maximize expected return for any level of expected risk, or that minimizes expected risk for any level of expected return. Pioneered by Harry Markowitz.

Markowitz Efficient Frontier

A graphical representation of the set of portfolios giving the highest level of expected return at different levels of risk. Harry Markowitz theorized that each level of risk contains one combination of assets giving the highest expected return. An efficient set of portfolios is represented as a line on a graph with risk as the x-axis and expected return as the y-axis; this representation is the Markowitz efficient frontier. See also: Markowitz Efficient Portfolio, Homogeneous Expectations Assumption.
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However, the objective here is to explain a source of the sensitivity in mean-variance efficiency tests, which is based on economics of the mean-variance efficient frontier, not on a specific test statistic.
10) Their study considered only one point on the efficient frontier, however, and covered a slightly different time period.
With recent IPOs amongst the Redpoint portfolio including HomeAway, Qihoo, Intermolecular, and Responsys, and acquisitions including StorSimple, NextG Networks, Efficient Frontier and Heroku, the Redpoint team has always focused investments on founders and businesses creating new markets or redefining existing ones.
For each of the problems, by solving an extended HJB equations system, the equilibrium strategy, equilibrium value function, and the corresponding equilibrium efficient frontier are obtained.
Russo brings over 20 years of experience in managing and building companies from an operational and financial perspective, having most recently served as CFO at Efficient Frontier, a company that was acquired by Adobe last year.
Further, different portfolios on the efficient frontier can be combined in long/short combinations to generate new portfolios lying on the efficient frontier.
Adobe Systems Incorporated (Nasdaq:ADBE), a provider of digital technology solutions, announced today the completion of its acquisition of Efficient Frontier, a provider of optimising multi-channel and auction-based digital advertising platforms across search, display and social media.
The set of insurance solutions that provide the lowest cost of risk for each given level of risk form what is deemed the efficient frontier, much like points on aline.
According to the firm's assumptions, the combination of lower fixed-income returns, a decline in economic growth assumptions and reduced equity returns "pulls the efficient frontier uniformly down.
We believe TCTL is well positioned to help investors tactically manage equity exposure, with the goal of remaining globally diversified on the efficient frontier.
The projected point on the efficient frontier obtained as such may not be a representative projection for the judged unit, and consequently, some authors in the literature have suggested determining closest targets instead.

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