Unformatted text preview: m creating. The standard deviation is a great indicator
on how your portfolio is going to most likely react, the farther away it is from the Standard
deviation of the index the less predictable your portfolio becomes. My standard deviation right
now is 3.8549%, which is very far away from the index standard deviation that is at 0.8502%.
My portfolio is highly unpredictable right now, which adds risk. Another indicator of how a
portfolio will react that I wish I understood better and paid closer attention to is the c...
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This document was uploaded on 03/05/2014 for the course FMIS 3644 at University of Minnesota Duluth.
- Spring '14