Comments on: How to Calculate the Expected Return on a Portfolio http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/ A personal finance blog dedicated to discussing such topics as budgeting, asset allocation, 401K, IRA, cash flow, insurance, financial planning, portfolio management, and other areas in personal finance. Fri, 20 Nov 2009 19:56:44 -0800 http://wordpress.org/?v=abc hourly 1 By: Si Wang http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-415404 Si Wang Sat, 18 Apr 2009 08:44:04 +0000 http://allfinancialmatters.com/?p=1507#comment-415404 Hi, I realized that this is post from a while ago and I just got this from searching in google. Thank you for your sharing, I am having couple question here, if you have some time can you do me a favor and have a look at it? I know how to calculaing the expected value, when I setting up a porfolio which contains 2 stocks, I basically analyze it base on historical datas, what is it the time frame should I use (etc,5,10,15,20 years？) and what kind of frequency should I use ( daily, weekly, monthly, yearly) Thank you very much for your time. Hi, I realized that this is post from a while ago and I just got this from searching in google. Thank you for your sharing, I am having couple question here, if you have some time can you do me a favor and have a look at it?

I know how to calculaing the expected value, when I setting up a porfolio which contains 2 stocks, I basically analyze it base on historical datas, what is it the time frame should I use (etc,5,10,15,20 years？) and what kind of frequency should I use ( daily, weekly, monthly, yearly) Thank you very much for your time.

]]> By: jhn http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-333163 jhn Mon, 14 Jul 2008 15:16:56 +0000 http://allfinancialmatters.com/?p=1507#comment-333163 Hi Thanks for this perfect post. I really understand how to calculate Expected return.. My question is we used 20 years for calculation, if we use 10-year or 15- year we will get different results. How we decide which time period we should choose? you can e-mail me your answer thxx Hi
Thanks for this perfect post.
I really understand how to calculate Expected return..
My question is we used 20 years for calculation, if we use 10-year or 15- year we will get different results. How we decide which time period we should choose? you can e-mail me your answer
thxx

]]> By: John http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-333159 John Mon, 14 Jul 2008 15:13:23 +0000 http://allfinancialmatters.com/?p=1507#comment-333159 Hi Thanks for this perfect post. I really understand how to calculate Expected return.. My question is we used 20 years for calculation, if we use 10-year or 15- year we will get different results. How we decide which time period we should choose? you can e-mail me your answer thanks a lot again.. Hi Thanks for this perfect post. I really understand how to calculate Expected return..
My question is we used 20 years for calculation, if we use 10-year or 15- year we will get different results. How we decide which time period we should choose? you can e-mail me your answer
thanks a lot again..

]]> By: Jon http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-332030 Jon Fri, 11 Jul 2008 20:29:09 +0000 http://allfinancialmatters.com/?p=1507#comment-332030 Great post. It's amazing how many people and even investment firms don't use expected return. Considering expected return is the only intrinsic value measure that considers confidence level and risk, it ought to be used. For more information, Alpha Theory has created a portfolio management tool for hedge funds. The demos on the website can help any investor: https://www.alphatheory.com/demo.jsp Great post. It’s amazing how many people and even investment firms don’t use expected return. Considering expected return is the only intrinsic value measure that considers confidence level and risk, it ought to be used. For more information, Alpha Theory has created a portfolio management tool for hedge funds. The demos on the website can help any investor: https://www.alphatheory.com/demo.jsp

]]> By: portfolio expected return calculation http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-308417 portfolio expected return calculation Wed, 14 May 2008 03:50:35 +0000 http://allfinancialmatters.com/?p=1507#comment-308417 [...] [...] [...] [...]

]]> By: marg http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-142756 marg Sat, 22 Sep 2007 01:33:14 +0000 http://allfinancialmatters.com/?p=1507#comment-142756 hey i was wondering....if i were not given probability, how do i calculate the expected return of the portfolio? i was only given like say $4000 as investment, expected return is 6.2% and beta is 0.95.... I don't really understand this so i thought you could help me to clear my doubt... thanks hey i was wondering….if i were not given probability, how do i calculate the expected return of the portfolio? i was only given like say $4000 as investment, expected return is 6.2% and beta is 0.95….

I don’t really understand this so i thought you could help me to clear my doubt… thanks

]]> By: Maggie http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-140825 Maggie Sun, 16 Sep 2007 21:31:33 +0000 http://allfinancialmatters.com/?p=1507#comment-140825 A Start-Up Investors dream! Thanks :) A Start-Up Investors dream! Thanks :)

]]> By: PJ http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-121098 PJ Mon, 16 Jul 2007 17:38:41 +0000 http://allfinancialmatters.com/?p=1507#comment-121098 How did you calculate "annualized" returns for each asset class? What years did you use for 3-years? 5-years? etc.? How did you calculate “annualized” returns for each asset class? What years did you use for 3-years? 5-years? etc.?

]]> By: alley http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-110842 alley Wed, 06 Jun 2007 09:55:36 +0000 http://allfinancialmatters.com/?p=1507#comment-110842 2 things I would like to know. First, I woukd like to know (illustration) how the expected return on the porfolia is calculated against the amount recieved at the end of the financial year? secondly, If you chose 20th year as annualized rate does this mean payment at the end of 20 years? please email me of a practical example from beginning to end include a realistic example of an investor with say about 1 million US$ to invest with a similar portfolio above, and show how much his return would be at the end of the 20th year. help would be appreciated.I am commerce Degree student. 2 things I would like to know.

First, I woukd like to know (illustration) how the expected return on the porfolia is calculated against the amount recieved at the end of the financial year?

secondly, If you chose 20th year as annualized rate does this mean payment at the end of 20 years?

please email me of a practical example from beginning to end include a realistic example of an investor with say about 1 million US$ to invest with a similar portfolio above, and show how much his return would be at the end of the 20th year. help would be appreciated.I am commerce Degree student.

]]> By: paul http://allfinancialmatters.com/2007/01/19/how-to-calculate-the-expected-return-on-a-portfolio/comment-page-1/#comment-66753 paul Thu, 25 Jan 2007 20:34:40 +0000 http://allfinancialmatters.com/?p=1507#comment-66753 Very interesting post and good table compiling the data. I think what your table presents is that there is so much randomness in the data that trying to outguess the market is self-defeating in a way. I wrote a post describing my thoughts http://extremeperspective.blogspot.com/2007/01/stocks-are-risky-dont-obsess.html Very interesting post and good table compiling the data. I think what your table presents is that there is so much randomness in the data that trying to outguess the market is self-defeating in a way. I wrote a post describing my thoughts

http://extremeperspective.blogspot.com/2007/01/stocks-are-risky-dont-obsess.html

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