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Geometric Insights on Portfolio Construction

The article argues that the equally weighted portfolio is usually less preferable than the mean-variance portfolio, based on the influence of the covariance matrix's condition number on the αweight angle in portfolio optimizations.

Featured in No. 57 on 17 Jul 2024 · 2 days after release

Released
15 Jul 2024
First featured
No. 57 · 17 Jul 2024
Published in
Not yet, as far as Semantic Scholar knows
Shares when featured
3
Identifier
SSRN 4894874

Citations and venue from Semantic Scholar (ODC-BY), refreshed weekly. Summary: Quant Letter (CC BY 4.0).

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