Introduction
Modern portfolio analysis rests on the work of Markowitz and others. The essential idea is to reduce risk through diversification of a portfolio of differentially risky analysis. Portfolio analysis sets us up to explore the CAPM, APT, EMH and the adaptive markets hypothesis.
Length: 50 mins
Click below for lecture notes, handouts, slides, and links for further reading.
Slides
Handout
Further Reading
Harry Markowitz;s Nobel Lecture
Markowitz: Foundations of Portfolio Theory
Markowitz, 1959, Efficient Portfolio Selection, fulltext of his 1959 book.