Comments for The Calculating Investor

Comment on Screencast: Fama-French Regression Tutorial Using R by Dr.K.Dhanasekaran,Ph.D.,

Dr.K.Dhanasekaran,Ph.D., — Tue, 28 Apr 2020 16:38:11 +0000

very useful

Comment on Fun with the Gordon Growth Model by How to Be a Great Investor, Part Two: Understand Value – Portfolio123

How to Be a Great Investor, Part Two: Understand Value – Portfolio123 — Mon, 21 Oct 2019 10:55:17 +0000

[…] The basic idea behind DCF analysis is as follows. We start with a basic equation called Gordon’s Growth Model, P = D / (r – g), where P is price, D is dividend, r is the required rate of return, and g is the growth of dividends over time. There’s a very elegant proof of this equation, which you can read about here. […]

Comment on 7 Great Websites for Free Financial and Economic Data by Alexander Cortes

Alexander Cortes — Wed, 05 Jun 2019 09:17:22 +0000

In reply to Ben Thayer. I think you switched the 2 on accident

Comment on Calculating the Efficient Frontier: Part 1 by A.G

A.G — Tue, 02 Apr 2019 04:43:23 +0000

Hello this is incorrect. You need to calculate the global minimum point which is mu=A/C i.e. you defined mu incorrectly. Then you increase mu by some increments and calculate corresponding Variances for given mu.
Then you plot.

Also is there a way to plot the Capital Market Line i.e. portfolio of risk free assets and risky assets (tangency portfolio)?

Thanks

Comment on 7 Great Websites for Free Financial and Economic Data by Ben Thayer

Ben Thayer — Sun, 03 Mar 2019 06:54:18 +0000

Love people. Use money.

Comment on Downloading Monthly Returns into Google Docs by Lucid Thoughts

Lucid Thoughts — Sat, 23 Feb 2019 22:15:25 +0000

When using monthly prices, be careful about the dates. Even though the date may say; e.g. December 1, 2018, it is really the performance for the entire month of December– so the opening price is the opening as of the first trading day in December and the closing is the closing as of the last day of December. To see this compare the prices between a Monthly table and a daily table.
Also, if you want total returns use the adjusted closing prices.
Finally, opening price of one day is different from the closing price of the previous day due to after hour trading.

Comment on Calculating Investment Returns by skube

skube — Sat, 23 Feb 2019 13:43:14 +0000

I thought the Modified-Dietz method was actually an approximate of TWRR.

Comment on 7 Great Websites for Free Financial and Economic Data by Joe

Joe — Tue, 19 Feb 2019 20:36:17 +0000

Intrinio (https://intrinio.com/) is a great site that offers affordable financial data with a free Excel plug in and screener

Comment on Calculating the Efficient Frontier: Part 2 by calcinv

calcinv — Wed, 01 Aug 2018 16:28:06 +0000

In reply to Andy. The solution is not restricted to positive weights. It may be that the mean variance optimal portfolio requires shorting some of the assets. These shorted assets will have negative weights.

Comment on Calculating the Efficient Frontier: Part 2 by Andy

Andy — Wed, 01 Aug 2018 06:31:51 +0000

Eh, I’m getting negative weights- what gives?