Efficient frontier


 

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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.



Efficient frontier

Similar Matches

Efficient allocation

Efficient allocation

An allocation that it is impossible unambiguously to improve upon, in the sense of producing more of one good without producing less of another.


Coefficient of determination

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A measure of the goodness of fit of the relationship between the dependent and independent variables in a regression analysis; for instance, the percentage of variation in the return of an asset explained by the market portfolio return. Also known as R-square.


Minimum efficient scale

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The smallest output of a firm consistent with minimum average cost. In small countries, in some industries the level of demand in autarky is not sufficient to support minimum efficient scale.


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The organizing principle of modern portfolio theory, which maintains that any risk-averse investor will search for the highest expected return for any particular level of portfolio risk.


Operationally efficient market

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Market in which investors can obtain transactions services that reflect the true costs associated with furnishing those services. Also called an internally efficient market.


Further Suggestions

Efficient markets theory(EMT)
efficient market theory
Efficient capital market
Inefficient portfolio
Efficient set
Earnings response coefficient
Internally efficient market
Gini Coefficient
Coefficient of Variation
Efficient market
Regression coefficient
Correlation coefficient
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Information Coefficient (IC)


 
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