Week 1.

Idea: research on performance of 4 mutual funds by historic data provided from UBS Luxembourg.

All 4 funds are based of similar equity structure, hence their weighting differs according to strategy they are holding, as well as fix income instrument and by that government bonds holding on book of specific fund.


My challenge is to figure out what was the best investment so far, stress test it, undergo rigorous analysis by specific instruments, and acquire findings of such funds.

The idea is to figure out whether isn’t better to purchase only stocks inside with specific weighting to outperform funds, as well as whether it is possible to get more for less risk.

The question we are asking is what is the optimum weighting for these funds, by Markowitz Efficient frontier, as well as how to create best possible returns out of these 4.


My guess is, that purchasing stocks inside would definitely outperform bond itself, as realistically we had bull market for some time, hence we can't underestimate downside and bad years, that might actually underperform in the long run because of negative returns in those periods.

Link :

Efficient Frontier on Git
or
Efficient Frontier on NBViewer