Advertising

Homogenous expectations assumption

• An assumption of Markowitz portfolio construction that investors have the same expectations with respect to the inputs that are used to derive efficient portfolios: asset returns, variances, and covariances.

 
 Embedded terms in definition
 Asset
Efficient portfolio
Expectations
Portfolio
 
 Related Terms
 Assumption of mortgage
Biased expectations theories
Expectations
Expectations hypothesis
Expectations hypothesis theories
Expectations theory of forward exchange rates
Local expectations theory
Pure expectations theory
Rational expectations
Return to maturity expectations
Zero prepayment assumption

<< Homogeneous Homoskedasticity or homoscedasticity >>

What to Know Before Declaring Your Financial Independence: Twenty-somethings may not realize it, but every time they enter a new phase of their life as young adults - perhaps starting college, a career or a family - they're also venturing into a new world of money management. Here are ways to be prepared. More...

If you really put a small value upon yourself, rest assured that the world will not raise your price. - Author Unknown

Advertising



Copyright 2009-2018 GVC. All rights reserved.