Posts Tagged ‘Investor Behavior’

How the struggling US dollar in international money markets impacts US investors

Since 2004, the U. S. dollar has been constantly devaluating against major currencies and particularly the Euro, which has been preferred in international trade. At the same time, U. S. equities have fallen behind international equities and this trend is expected to continue in the near future based on the fundamentals of the U. S. [...]

Finance professionals assess Modern Portfolio Theory (MPT) for investors

In 1952, Modern Portfolio Theory (MPT) was developed by Professor Harry Markowitz, in his paper ‘Portfolio Selection’ (Journal of Finance 7, no 1, March 1952: 77-91). This basic portfolio model suggested that the variance of the rate of return is a significant measure of portfolio risk under a certain set of assumptions related to investor [...]

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