Portfolio Optimization

by Business Spreadsheets

A tool for determining the optimal allocation of investments in a portfolio

Operating system: Windows

Publisher: Business Spreadsheets

Release : Portfolio Optimization 5.2

Antivirus check: passed

Report a Problem

Portfolio Optimization software is an advanced financial tool designed to identify the optimal weight of capital in an investment portfolio based on individual correlations. Its goal is to create a desired risk and return profile. The software is designed to be applicable to different portfolios, whether they consist of financial instruments or business flows, with both long and short positions.

The software is intuitive and flexible, easy to use, with helpful icons to assist in data entry and results interpretation. Inputting historical data for analysis is made easier with options to specify absolute prices or returns, the number of current units held, and a tool for downloading extensive periods of financial market data for securities from the internet.

  • Advanced optimization options: the definition of minimum and maximum constraints for weights in the optimal portfolio, and risk analysis options for overall volatility.
  • Monte Carlo simulation: the software can be set up to maintain at least the current level of returns and specify a target return where the probability of achievement is calculated by a Monte Carlo simulation.
  • Results presentation: the outcomes of portfolio optimization are displayed using weight graphs and return distributions, as well as required buy and sell actions.
  • Detailed technical analysis: analysis of technical indicators with in-depth charts and backtesting analysis.

The Portfolio Optimization software features the ability to automatically optimize technical period constants for each investment or for the overall portfolio, resulting in the highest possible return with backtesting. Technical analysis indicators include Simple Moving Average (SMA), Rate of Change (ROC), Moving Average Convergence/Divergence (MACD), Relative Strength Index (RSI), and Bollinger Bands.

"Portfolio Optimization software maximizes investment return through sophisticated risk analysis and advanced technical indicators."

The model of this software is compatible with Excel 97-2013 for Windows and Excel 2011 or 2004 for Mac, making it a multi-platform portfolio optimization solution.

- Requires Excel 97-2013 for Windows or Excel 2011/2004 for Mac
- Internet access for downloading market data
- Advanced computing capabilities for Monte Carlo simulations
- Graphic visualization capabilities for detailed results display

Allows for advanced, personalized risk and return analysis.
Incorporates detailed technical indicators for comprehensive analysis.
Automatically optimizes technical period constants to maximize return.

Requires a strong understanding of financial market concepts.
Optimization outcomes are heavily dependent on input accuracy.
Does not guarantee future investment success.
Business Valuation
A tool to assess business value using financial data and market knowledge for forecasting
Portfolio Manager
An intuitive personal stock management system for maintaining a comprehensive trading diary