Jim Simons and His Quants

– December 20, 2019

We meet colorful characters, financial success, and business matches made in heaven — but also ceaseless struggling, heartbreaking losses, friendships, marriages, and partnerships with flourishing beginnings and abrupt endings.

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Investment Management for Mortals

– July 17, 2011

Modern Portfolio Theory Part 10 | July 18, 2011 Overconfidence and self-deception are part of human nature. But knowing this opens the way to better decisions and wiser allocations. Donald R. Chambers, PhD, Research Associate

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Alternative Investments – MPT

– June 20, 2011

Modern Portfolio Theory Part 9 | June 20, 2011 Non-traditional investments can strengthen individual portfolios. But they must satisfy three key criteria. by Donald R. Chambers, PhD, Research Associate

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Dynamic Asset Allocation Strategies

– May 13, 2011

Modern Portfolio Theory Part 8 | May 16, 2011 There are only two reasons to reconsider target allocations. Neither are determined by outside circumstances. by Donald R. Chambers, PhD, Research Associate

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Market Timing and Stock Pricing

– April 14, 2011

Modern Portfolio Theory Part 7 | April, 18, 2011 Trading strategies are like casino gambling. You pay your money and you take your chances. But there are more reliable ways to build your portfolio. by Donald R. Chambers, PhD, Research Associate

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Managing the Riskless Portfolio

– March 21, 2011

Managing the Riskless Portfolio An investor can limit risk by reducing the portion of her wealth exposed to the risky market portfolio and increasing her holdings in the riskless portfolio. by Donald R. Chambers, PhD, Research Associate

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Modern Portfolio Theory: Introduction and Overview

– March 21, 2011

Introduction and Overview Modern Portfolio Theory suggests that you can maximize your investment returns, given the amount of risk (or volatility) you are willing to take on. This is the idea to be developed and evaluated during this 10-part series. Pa …

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Diversification and the Market Portfolio

– February 28, 2011

Diversification and the Market Portfolio This is the second in a ten-part series exploring the implications of modern portfolio theory (MPT) for common investment decisions faced by individuals. This part focuses on two major concepts: diversification …

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Managing a Portfolio’s Risk

– February 28, 2011

Managing a Portfolio’s Risk Using a four-step plan, you can select a portfolio allocation that generates the desired risk exposure. The more volatility (risk) you can take on, the higher your expected long-term returns. by Donald R. Chambers

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The Asset Allocation Decision

– February 28, 2011

The Asset Allocation Decision Investment choices should be based on realistic forecasts of the risk-return trade-off and the investor’s personal preferences about how much risk to undertake. by Donald R. Chambers

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Insurance and Risk in MPT

– February 28, 2011

Insurance and Risk in MPT While there are limits on how fully investors can diversify the market portfolio, in practice insurance pools risk so that everyone can enjoy substantial diversification. by Donald R. Chambers, PhD, Research Associate

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