Episode 3: Portfolio Optimization (The Markowitz Procedure)

Welcome to Episode 3 of our Python series. Building on our previous discussions, this lesson shows how to construct an optimal portfolio by applying the Markowitz optimization procedure. We’ll explore how to identify the portfolio that offers the highest expected return for a given level of risk (The highest Sharpe ratio), or the minimum risk for a given level of expected return. Be sure to skim through episodes 1 & 2 before following along.

Episode 3 can be accessed here.