Formation of the Optimal Investment Portfolio as a Precondition for the Bank’s Financial Security Cover Image

Formation of the Optimal Investment Portfolio as a Precondition for the Bank’s Financial Security
Formation of the Optimal Investment Portfolio as a Precondition for the Bank’s Financial Security

Author(s): Anna Shapovalova, Svetlana Shapovalova
Subject(s): Economy
Published by: Editura Universității Aurel Vlaicu
Keywords: financial security; investment portfolio; risk; return on investment; variance; securities; covariance; yield

Summary/Abstract: This article analyses the definition of the bank’s financial security and investment activities. It describes a few types of models of bank’s risks management and the method CAPM, which is chosen for use. In support for the chosen CAPM method, we included the mathematical model that allows elaborating an optimal investment portfolio. The model stands at the basis of this method and a case study of one of Ukrainian banks.

  • Issue Year: 21/2015
  • Issue No: 2
  • Page Range: 106-116
  • Page Count: 11
  • Language: English
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