How do you calculate portfolio return forecasts?
we make forecasts on the performance of the individual stocks in your
portfolio. Next, we simulate thousands of future possibilities for all
of the stocks in a given portfolio (while preserving the correlation structure
among all the stocks). Finally, based on the allocation of each stock
in the portfolio, we compute the portfolio's projected future returns.
Does Portfolio Forecast depend on the Stock Valuation Model?
slightly. Our Valuation Model-based Mispricing variable is one of the
many forecasting variables for a stock's future returns and probability
assessments. Portfolio Forecast relies heavily on other predictors and
a set of mathematical and econometric models.
Is Portfolio Forecast only useful to value investors?
Regardless of your stock-picking style, you'll find many tools on ValuEngine.com
invaluable. Our Strategy Library and
VE Benchmark Portfolios provide specifics on How to...best
identify stocks that fit your preferences for risk and return. Day traders,
momentum investors, market-leader investors, the "Don't label me!" investors,
or whoever, can all benefit from the many ValueEngine System tools that
were designed to meet your specific needs such as:
Engine Rating Stocks
and Portfolio Advisor etc.