Modern Portfolio Theory and Investment Analysis, 9th Edition

Contents

Part 1 INTRODUCTION

Chapter 1: INTRODUCTION

Outline of the Book

The Economic Theory of Choice: An Illustration under Certainty

Conclusion

Multiple Assets and Risk

Questions and Problems

Bibliography

Chapter 2: FINANCIAL SECURITIES

Types of Marketable Financial Securities

The Return Characteristics of Alternative Security Types

Stock Market Indexes

Bond Market Indexes

Conclusion

Chapter 3: FINANCIAL MARKETS

Trading Mechanics

Margin

Markets

Trade Types and Costs

Conclusion

Part 2 PORTFOLIO ANALYSIS

Section 1: MEAN VARIANCE PORTFOLIO THEORY

Chapter 4: THE CHARACTERISTICS OF THE OPPORTUNITY SET UNDER RISK

Determining the Average Outcome

A Measure of Dispersion

Variance of Combinations of Assets

Characteristics of Portfolios in General

Two Concluding Examples

Conclusion

Questions and Problems

Bibliography

Chapter 5: DELINEATING EFFICIENT PORTFOLIOS

Combinations of Two Risky Assets Revisited: Short Sales Not Allowed

The Shape of the Portfolio Possibilities Curve

The Efficient Frontier with Riskless Lending and Borrowing

Examples and Applications

Three Examples

Conclusion

Questions and Problems

Bibliography

Chapter 6: TECHNIQUES FOR CALCULATING THE EFFICIENT FRONTIER

Short Sales Allowed with Riskless Lending and Borrowing

Short Sales Allowed: No Riskless Lending and Borrowing

Riskless Lending and Borrowing with Short Sales Not Allowed

No Short Selling and No Riskless Lending and Borrowing

The Incorporation of Additional Constraints

An Example

Conclusion

Appendix A: An Alternative ...