Modern portfolio theory

The future is the worst thing about the present. —Gustave Flaubert The traditional approach to assessing your investment risk tolerance would have you complete a questionnaire about your investing experience and your rational response to some hypothetical questions, many of which are based on...

Modern Portfolio Theory (MPT) is an investment theory popularized in a 1952 paper by Harry Markowitz entitled “Portfolio Selection.” The idea behind MPT is that investors should identify and select the lowest-risk allocation for a given expected portfolio return. While most investors...

Modern portfolio theory (MPT) is evolving, and investors can gain exposure to that evolution with a new exchange-traded fund. The iSectors Post-MPT Growth ETF (NASDAQ: PMPT) debuted Wednesday as the first ETF from iSectors, which launched the fund partnership with Virtus Investment Partners (NASDAQ...