Quantitative Researcher | Mustafa MAJJI
In this project, we present the Risk Budgeting method for portfolio optimization. The objective of this method is to allocate asset weights so that each asset achieves a specified contribution to the portfolio’s overall risk.
Specifically:
- Equally Weighted Portfolio (EWP): Assets have the same weight but contribute differently to the portfolio’s total volatility.
- Risk Parity Portfolio (RPP): Assets contribute equally to the portfolio’s total volatility, although their weights may vary.
- Images : The folder contains images used on the notebook.
- Theory: A PDF document providing a detailed explanation of the theory behind the model.
- Risk Parity.ipynb : a notebook that details the risk parity method and compare it to the Equaly weighted portfolio.
For any information, feedback or questions, please contact me