Image for post
Image for post
Source: marketwatch.com

Since the turn of the millennium, China’s economy has grown 10 times to become the largest economy in the world, making up 19% of the global total. China is also the world’s largest trading nation and its bond market is worth $15tn, about one half of the global total. …

Image for post
Image for post
Source: coinmarketcap.com

Executive Summary

The purpose of this article is to propose an Optimal Portfolio of Digital Assets, i.e. a portfolio that would have given us the best risk adjusted return in the course of the last >2 years. I used Python’s NumPy and Pandas, and >2 years of daily close price data of selected Digital Assets. This is not financial advice and more thorough research should be done before making an investment decision of any kind. It is also not a coding how-to guide.

Image for post
Image for post
Optimal Portfolio: Point in which Market Line (possible combination of portfolio assets expressed as a combination of risk & return) touches investor’s Indifference Curve (amounts of risk willingly taken for amounts of return); Image Source: Researchgate.com

“To reduce risk it is necessary to avoid a portfolio whose securities are all highly correlated with each other.”

Harry Markowitz, author of the Modern Portfolio…


Matus Steis

Venture Capitalist | Interested in Intersection of Finance & Tech | Oxford & Peking Uni

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store