Capstone: Weight Caps, Changed Estimates and How Fragile the Optimum Is
This lesson is part of the course
In this lesson
You pick the best capped mix with MAXIFS, repeat the choice under two slightly changed estimates, measure how far the weights move and chart the three answers side by side.
Buy the course once for $9.99 to unlock every lesson and lab, the final exam and the certificate – lifetime access, no subscription.
Lessons in this course
- From Monthly Returns to Annual Means and Volatilities Locked
- Covariance and Correlation Tables, Written Out Cell by Cell Locked
- Two-Asset Mixes: Return, Risk and the Effect of Correlation Locked
- The Minimum-Variance Mix: Closed Form and Grid Check Locked
- Three Assets: A Weight Grid, Nine Covariance Terms and Feasibility Flags Locked
- The Efficient Frontier: Return Bands, Lowest Risk per Band and Dominated Mixes Locked
- Adding a Risk-Free Asset: Sharpe Ratios, the Tangency Mix and the Capital Allocation Line Locked
- Capstone: Weight Caps, Changed Estimates and How Fragile the Optimum Is Locked