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How Is Portfolio Risk Assessed in Investment Analytics?

Written by Radient | Jul 18, 2023 12:19:05 PM

Portfolio risk is assessed in investment analytics by employing various methods such as standard deviation, beta, VaR, and stress testing. These measures analyze historical data, market trends, and correlations among assets to gauge the potential volatility and downside risk of a portfolio. Diversification and asset allocation also play key roles in managing portfolio risk.