A python program to output the 'efficient frontier' of investment choices. Inspired by Markowitz's work on Modern Portfolio Theory.
I am not a financial professional, and have never claimed to be. This prgoram is meant to be illustrative only, and I DO NOT guarantee that this code is flawless or accurate, especially as it pertains to investment guidance. Please use this code at your own discretion, as I will not guarantee any accuracy or precision.
To be able to run the code, you must acknowledge the above by entering passing 'yes' to the acknowledgement variable.
This program is designed to explore Markowitz's Modern Portfolio Theory on the effifient frontier of investments-that there is an abolustely optimal mix of funds for a desired amount of risk, and that all other mixtures of said funds are un-optimal. This program displays:
- The correlation between passed funds
- The growth of each fund over the specified timeframe
- The efficient frontier of investment allocations for random mixtures of each fund in a portfolio
- The growth of the top simulated portfolios, by return and by risk-weighted return.
Project is created with:
- Pandas 1.2.0
- Numpy 1.19.5
- yfinance 0.1.54
- Plotly 4.14.3
To run this project, clone and run via your preferred Python environment. The below steps may assist you:
https://github.com/jkiefn1/Markowitz-Efficient-Frontier.git
cd Markowitz-Efficient-Frontier
$ python3 Efficient-Frontier.py