Review of the Portfolio Theory Application

DOI

10.2991/assehr.k.211209.497How to use a DOI?

Keywords

investment; portfolio model; industry review

Abstract

Portfolio investment is the core of all kinds of investment activities in the financial market, is an investment decision under uncertain conditions, is an important branch of the economic field. The portfolio is a common way to avoid risk. A portfolio is generally considered to be a combination of bank deposits, bonds, stocks, real estate, precious metals and other investments. In the securities market, that is, even one investment direction has the portfolio problem, and some people call the portfolio of the same investment direction “diversified investment”. Therefore, it is very important to study and summarize and analysed the application of portfolio theory. This paper studies the portfolio theory by means of a literature review. Through concept, application model and industry analysis, it is reviewed in detail. The results show that the q-factor model and Fama-French 5-factor model are seldom used in securities, stocks, real estate and other industries. The current research on the CAPM model is more abundant than the previous two models, but there is less research on changing abnormal economic forms. On the one hand, the conclusion of this paper summarizes the investment theory. On the other hand, it lays a theoretical foundation for investment practice.

Copyright

© 2021 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

Download article (PDF)

TY  - CONF
AU  - Yanyu Xiao
PY  - 2021
DA  - 2021/12/15
TI  - Review of the Portfolio Theory Application
BT  - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021)
PB  - Atlantis Press
SP  - 3042
EP  - 3046
SN  - 2352-5428
UR  - https://doi.org/10.2991/assehr.k.211209.497
DO  - 10.2991/assehr.k.211209.497
ID  - Xiao2021
ER  -