In previous modules, risk was not an issue. However, risk is inseparable from returns, especially with higher rates of return.
This is what the PORTFOLIO module helps with. It enables you to simulate returns from various portfolio risk profiles, from extremely conservative to very aggressive. It also allows you to simulate the effects of diversification across asset classes.
First, you need to create a portfolio. There are eight asset classes available:
Secondly, you must fill in the following fields:
Thirdly, when you have selected your portfolio and entered all four necessary inputs, you can press either the Single Run button or the Simulation button. The former will show you one possible simulated scenario of the price development of your portfolio over time. The latter will perform 1000 simulation runs and finally show the statistics:
Enter your portfolio here
See the results in the output window