Portfolio Optimization Research Paper Example | Topics and Well Written Essays - 500 words

Portfolio Optimization - Research Paper Example ). The investor treats the national market as a global market with all its different industrial sectors where each sector symbolizes a national market. The diverse industrial sectors are to some extent uncorrelated and will provide a positive excess return and consequently should be added to the portfolio. Search for the window of opportunity with mathematical tools, the statistical result gives the investor an indication of the suitability of the opportunity in the perspective of the investor’s aversion to risk. When allocating the portfolio from a global point of view, it is important to be aware of that the transaction costs probably will rise to a great extent (Litterman, 2003). The efficient frontier solves the question of how to identify the best level of diversification. The concept of an efficient frontier can be applied in a number of ways. In essence, an efficient frontier is a curve on a graph representing the relationship between return and risk for a set of portfolios. For a portfolio to be on the efficient frontier, the portfolio must maximize return for a given level of risk (Litterman, 2003). It is simple concepts that risk and return are linked together and that there is a relationship between them, and thus there could be a way to determine the degree of risk that would be required for various levels of return. According to Litterman (2003). it is hard to generate high returns without exposing yourself to some kind of risk. Litterman (2003).devised what he called the efficient frontier, a trade-off graph with the expected return on one axis and risk on the other axis. It is a curve representing all portfolios that maximize the expected return for a given level of risk. The efficient frontier is simply a line drawn from the bottom left to the top right where each point on that line represents an intersection between potential reward and its corresponding level of risk. The most

Turkey political system Term Paper Example | Topics and Well Written Essays - 2000 words

Turkey political system - Term Paper Example One of the non-Muslim communities is the Greek community. Another community is the Armenian community. A third community is the Jewish community. Recognition of these communities is in line with Turkey’s compliance with the Lausanne Treaty. The Turkey nation includes other homogenous communities. The community includes the 15 million member Kurdish community. Furthermore, the other Turkish groups included immigrant communities. One of the communities is the Circassian community. A second community is the Albanian community. A third community is the Bosnian community. Georgia is another community. Moreover, the Turkish community is ruled by several political parties. One of the parties is the Justice and Development Party (AKP). The Islamic AKP party is a conservative party that espouses democratic ideals. The AKP government’s cultural and societal policies implements democratic religious concepts. Mustaf Kemal â€Å"Ataturk† and his Turkey-based concepts (Ataturk Movement) Mustafa Kemal or Ataturk is recognized as one of Turkey’s well known leaders. He founded the Republic of Turkey (Crossland, 1). Ataturk did not espouse the philosophical theories of Karl Marx. He did not propagate the political theories of Lenin. In fact, Ataturk did not directly espouse any philosophical theories. He never borrowed any philosopher’s theories. Moreover, Ataturk did not even create his own unique philosophies. Ataturk was more of a manager than a thinker. Ataturk was more of a pragmatist. Further, Ataturk did not imitate some of the Brazil government leaders’ positivism philosophies. A pragmatist is a person who decides on a case to case basis, not based on standard policies, theories, philosophies or procedures. Ataturk was a down to earth or practical leader. Ataturk... Turkey today is embroiled in a territorial dispute with the neighboring Cyprus government. The issue arose between the Greek government leaders and Turkey’s AKP government leaders, in terms of their Eastern Mediterranean hydrocarbon mining. The Greece government ordered the establishment of an exclusive economic zone. Turkey’s AKP government felt the establishment of the zone was economically disadvantageous to the Turkish nation. Mining quarrel focused on the drilling of oil in the area. The democracy will produce de-bureaucratization and de-securitization of the Greek and other foreign issues. Further, Turkey’s AKP government prioritized creating cooperation and camaraderie with its Muslim neighbors. Turkey contributed its share to the resolution of the Palestinian-Israeli crisis. Turkey’s President Sezer visited Damascus to create close ties with its neighbors. The AKP government’s beneficial relations with Syria irked the United States.