Revolutionizing Stock Market Investing: New Method Boosts Portfolio Performance
Portfolio optimization using the Minimum Spanning Tree model in the Moroccan stock market helps investors build strong and diverse portfolios. By analyzing historical stock data, two portfolios were created using different methods for selection and allocation. The MST-Portfolios outperformed other traditional portfolios, showing good performance and diversification, even during the COVID-19 crisis. This approach can help investors improve their portfolio performance and make better investment decisions.