Portfolio Optimization Tools in Excel
Tom M. Arnold, Joseph D. Farizo, Terry David Nixon · The journal of wealth management · 2025
The calculus and matrix algebra associated with finding the optimal portfolio weights for a set of securities is tedious. However, Excel tools make the computations simple, with minimal programming needed to arrive at optimal portfolio weights for securities in a portfolio. We provide this Excel template and techniques for acquiring optimal weights, which is useful for personal and institutional investors alike. In addition, we provide an Excel template to optimize portfolios that do not allow for short-selling.