Questions tagged [investment]
The investment tag has no usage guidance.
14
questions with no upvoted or accepted answers
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How would it be possible to use Dynamic Programming to search a space of investment strategies to find an optimum?
As my question states, the problem I am having is finding a sensible way to search a large space. Any help or insight that could be provided would be hugely appreciated.
Currently I am trying to ...
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2
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Portfolio optimised for diversification and regular yield. How to hedge?
Here is a portfolio optimisation for equity dividend and yield designed to diversify holdings and produce regular monthly returns using only ETFs complete with R code.
http://prescientmuse.blogspot....
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FRA-Strategy: Make 3-month and 1-year Excess returns comparable
I am trying to analyze an investment strategy that tries to exploit the empirical difference between forward interest rates and realized spot rates. I am using FRAs to capture the difference.
I am ...
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Question regarding loan tape data when thinking about providing credit facility to bank
I have few questions regarding loan tape data such as this one: Data
Say that I as a fund want to provide a credit facility to this bank and am given this loan tape data.
(1) What observations / ...
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What should I learn/know before reading Investments by Bodie Kane Marcus?
I hope this is the appropriate place to post this. If not, I would really appreciate if someone could redirect me to the right site.
I've been seeing a lot of recommendations for the book, ...
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23
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Is there a standard name for subtracting time dependent risk free rates from PnL(Equity) curve?
When we subtract the time dependent risk free rate (Federal funds rate) from an PnL (Equity) Curve, what is the curve called?
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Does the FF 3-Factor model work with unadjusted prices?
I am trying to investigate some trading strategies based on the Fama French 3-factor model, for which I assumed I need to use adjusted prices to account for dividends and splits. However, my ...
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27
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In what way are capital increases usually advertised?
I am currently trying to better understand capital increases and dilution. I came across a few presentations of companies. I am trying to find out, if there are any standards, which are commonly part ...
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Question regarding calculating Geometric Standard Deviation
I know GSD can be calculated by taking exponent of standard deviation of log return. My question is whether 1 should be subtracted from exp or should 1 not be subtracted ie exp(stdev of log returns)-1 ...
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76
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Why "hedging motives" and "heterogeneous preferences" are explanation for "under diversification puzzle"?
Han et al. 2021 documented something relating to the "under diversification puzzle":
Standard explanations for under diversification include hedging motives
and heterogeneous preferences, ...
- 307
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105
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Performance of dollar cost averaging
If we're investing money into a stock $S$ at a continuous rate, $C$, what is the probability distribution of the amount we have invested?
For example, modelling a stock as GBM without contributions, $ ...
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61
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Choose an investment option only knowing the costs, cost of capital and lifetime
A question in my course hasn't given us much to go on. I'm not sure if there is a specific model I could use to determine which project is the better one.
1st option costs 350.000, has a life ...
- 1
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56
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What share of the stock market is owned by whom
These days we were discussing whom you have to beat if you are trying to earn money in the stock market. I think the players are
private stock holders
actively managed investment funds
ETFs
maybe ...
