minimum-variance frontier
Definition
The minimum amount of volatility of stocks within any given portfolio, according to Markowitz's Modern Portfolio Theory. This is illustrated by a graph with each stock consisting of a data point that indicates its level of risk; ideally a well-balanced portfolio has enough diversification that the risk of one particular stock will be offset by the rest of the portfolio.
Related Articles
- Different Types of IRAs *
- Four Ways to pay for a Higher Education *
- Places to Buy a Car Other than Dealers *
- Explanation of the Major Factors Affecting Your Tax Returns *
- "Buy Put" Stock Option Investment Strategy *
- Initial Public Offerings *
- Fundamental Analysis *
- AMEX, NASDAQ, OTC and Other Exchanges *
Related Videos
http://www.businessdictionary.com/definition/minimum-variance-frontier.html


