Calculating the Global Minimum Variance Portfolio (GMVP) For 3 Stocks in Excel
62The Global Minimum Variance Portfolio represents the portfolio construction that produces the minimum possible risk as measured by the Standard Deviation of Returns. This is a key point on the Minimum Variance Frontier since it marks the start of the Efficient Frontier. This Excel tutorial takes you through the process of ascertaining the GMVP step-by-step, using 3 Assets/Stocks and the Excel Data Solver.
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This is Episode 29 in the Darwinex 'Institutional-Grade Risk Management Techniques' Playlist: https://youtube.com/playlist?list=PLv-cA-4O3y979Ltr9wQ2lRJu1INve3RCM
Video Contents:
00:00 Finding the Minimum Portfolio Risk for 3 Assets
00:22 Why Darwinex?
01:17 Finding the GMVP for 3 Stocks in Excel
07:37 Summary and Next Episodes
Content Disclaimer: Past performance is not a reliable indicator of future results. The contents of this video (and all other videos by the presenter) are for educational purposes only and are not to be construed as financial and/or investment advice.
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