Finding The Efficient Set Using The Critical Line Technique And EXCEL
George A. Mangiero, John F. Manley · College Teaching Methods & Styles Journal (CTMS) · 2011
This paper extends the discussion of the critical line approach using three risky stocks as described in Haugens Modern Investment Theory, 4th edition. A dynamic presentation of the concepts involved in finding the efficient set, using two EXCEL spreadsheets and an HP-12C hand-held calculator, is provided. This dynamic presentation will enable students to understand the composition of the efficient set in a much clearer and effective manner.