AlphaLeap

MPT Portfolio Optimizer

Construct an efficient portfolio from AI-selected stocks. The portfolio is optimized for an "Aggressive" risk profile by default.

Risk Profile
The portfolio is optimized for an "Aggressive" risk profile.
Simulated Sharpe Ratio

0.00

Higher is generally better (risk-adjusted return). Based on an aggressive profile.

Optimized Portfolio (Aggressive Profile)
AI-selected stocks with suggested weights. Total Weight:
0.00%
TickerCompany NameSector Weight

Portfolio weights are illustrative and based on simplified MPT principles for an aggressive risk profile. Consult a financial advisor for personalized advice.

MPT Explained

Modern Portfolio Theory (MPT) helps investors build portfolios that maximize expected return for a given level of risk.

It emphasizes diversification – combining assets that are not perfectly correlated to reduce overall portfolio risk.

The Efficient Frontier represents portfolios offering the best possible risk-return trade-off.

The Sharpe Ratio measures risk-adjusted return. A higher Sharpe Ratio indicates better performance for the amount of risk taken.

This tool provides a simplified illustration. Real MPT involves complex calculations using historical data, expected returns, and covariance matrices.