All Weather Investing Via Quantitative Modeling In Excel Free Tutorial Download
What you’ll learn
Learn about quantitative Investing & how it is different from conventional methods of investing
Master the science and art of diversification to build an all-weather portfolio that remains robust under harsh market conditions
Know the pitfalls of buying and holding a pure stock portfolio
Understand why traditional asset allocation methods such as 50/50 or 60/40 are not ideal
Understand the concept of risk and how to look at investments from the perspective of risk
Know the criteria to choose the right assets in portfolio construction
Master an established quantitative method used in hedge funds called Risk Parity to allocate capital across different assets
Understand how Risk Parity works and why it is adaptive to market conditions
Know both the strengths and weaknesses in Risk Parity
Use critical Excel lookup, logic, math and statistical functions required for modelling in this course.
Understand the intuition, math and know how to implement financial concepts such as Returns, Correlation, Risk, Marginal Risk Contribution
Know how to model a buy and hold portfolio
Know what is rebalancing and how to model a portfolio with periodic rebalancing
Know how to perform portfolio weights optimization
Know what are the transaction costs involved and how to incorporate them into the model
Understand the concept of leverage and how we can use it to boost our returns
Learn how to incorporate leverage and borrowing costs into the model
Learn the concept and math behind key investment performance metrics such as Sharpe Ratio
Know how to operate the Risk Parity model
The strategy taught in this course is applied to the US market
A keen learning attitude with an open mind
A basic knowledge in math and statistics is preferable, but not compulsory
A basic knowledge in Excel is preferable, but not compulsory
Do you think professional methods of investing are beyond your reach because it involves the state of the art infrastructure, rocket science, and a huge amount of money?
Have you tried replicating someone else’s trading style and method only to end up with drastically different or inconsistent results?
Do you find it difficult to implement investment strategies that you learned because (a) you have no confidence about it, (b) you still don’t know how to execute it, and/or (c) you have no time?
THIS COURSE WILL CHANGE YOUR PERCEPTION ABOUT THE APPROACH TO INVESTING.
We will teach you in-depth an all-weather investing approach known as Risk Parity, from concept to implementation, whose principles are used among hedge fund professionals. Ray Dalio, the founder of the largest hedge fund Bridgewater Associates, is the first to launch a fund based on Risk Parity principles.
This investing strategy is capable of creating robust portfolios that are much lower in risk. It remains resilient in harsh markets while yielding comparable or even higher returns than the broader stock market. After the course, you will be able to Do-It-Yourself.
Risk Parity is a powerful quantitative investing strategy that is grounded in well-established theory and common sense. There are no chart reading, no thick annual reports, no constant monitoring of market news, and no forecasting.
All investment decisions are driven by the model we will build in this course. The completed model requires less than 5 minutes of your time to update. With a good understanding of the strategy through hands-on learning, this will keep your discipline in check and prevent you from falling prey to emotions during times of market stress. The end result is consistency.
We will build the model up in Excel using inbuilt Excel functions. No programming experience is required. Neither do we need expensive tools or data subscriptions. We will use only free resources.
WHAT YOU WILL LEARN
- Why investing purely in a portfolio of stocks is riskier than it looks.
- Why traditional means of diversification such as 50/50 or 60/40 is far from ideal.
- What is risk and why we should look at investments from the perspective of risk.
- What are the criteria to look at when choosing assets to construct a portfolio.
- What is the concept and rationale behind risk parity allocation.
- How to use critical Excel functions e.g. data lookup, logic operators, math and statistical functions, etc.
- What is the intuition and math behind key financial concepts, e.g. returns, volatility, correlation, marginal risk contribution, etc, and how to implement them on Excel.
- Where and how to get price data.
- How to model a buy and hold portfolio.
- What is rebalancing and how to model a portfolio with periodic rebalancing.
- How to perform portfolio weights optimization based on risk parity principle.
- How to incorporate transaction costs, borrowing costs, and leverage into the model.
- How to calculate key performance metrics and create a performance analytics worksheet for tracking model performance.
- How to create a dashboard to extract and display key information for making investment decisions.
WHAT YOU WILL GET
- Over 8 hours of lectures developed with more than 15 years of experience in the asset management, hedge fund, and banking industry.
- Practice sheets on financial mathematics and excel functions with solutions.
- Guided step-by-step model building process complete with templates.
- Fully completed risk parity model file that you can use or improve on.
- Free Excel-based resources (from the web) to download price data from yahoo finance in bulk.
- VBA scripts to automate the data updating and weight optimization process.
- Unlimited lifetime access.
- Full 30-day money-back guarantee. No questions asked.
- Online Q&A where you can pose your questions to us.
An investment in the right education is one of the best investments one can make. The earlier you start, the better you will be in the future. So take action now and ENROLL IN THIS COURSE!
Who this course is for:
- Anyone who is keen to learn a solid investment approach used by hedge fund professionals founded on math and common sense.
- Anyone who is interested in generating stable returns with lower risk over the long term.
- Anyone who is serious about taking charge of their investment.
- This is NOT for people expecting an active trading course or something that will make you a millionaire overnight.