Dev Raga Personal Finance

228 what is modern portfolio theory?


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Heads up, loads of geeky stuff in today's chat! Dev explains the ins and outs of modern portfolio theory (MPT) touching on these concepts:

πŸ‘‰πŸΌ diversification
πŸ‘‰πŸ½ two main types of financial risk
πŸ‘‰πŸΎ variance
πŸ‘‰πŸΏ efficient frontier
πŸ‘‰πŸ» capital allocation line (CAL)
πŸ‘‰ sharpe ratio
πŸ‘‰πŸΎ post modern portfolio theory
πŸ‘‰πŸΌ the pros and cons of each theory
πŸ‘‰πŸΏ Dev also answers a listener question about the difference between ETFs and managed funds

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Related content you may want to check out after listening to this episode πŸ‘‡
203 what is diworsification?
043 40 year mortgages!! What is loss aversion?
217 macro-economic vs micro-economic factors
067 what is behavioural finance?
124 growth vs value investing
033 index funds vs ETFs: which is better?

πŸ›‘ Please read our disclaimer + warnings before listening to this episode

πŸ“ Episode transcript: https://bit.ly/m3meptranscripts
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Any advice is general financial advice only which does not take into account your objectives, financial situation or needs. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you do choose to buy a financial product read the product disclosure statement (PDS) and target market determination (TMD) and obtain appropriate financial advice tailored to your needs. The host of this podcast is an authorised representative of Money Sherpa PTY LTD, which holds financial services license 451289. To download the financial services guide, please visit: https://moneymoneymoney.squarespace.com/s/FSG-Dev-Raga-Personal-Finance-August-2025.pdf

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Dev Raga Personal FinanceBy Dev Raga


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