This risk is a non-diversifiable risk because if the market collapses, most all stocks will fall. Another way to describe systematic risk is a risk factor common to the whole economy. Tactical Asset Allocation - Another name for Portfolio Optimization. There are penalties associated with taking money out of these accounts before a specified date. Unfortunately, there are few of these assets or accounts.
Municipal bonds are tax-free.
But keep in mind, you may still have to pay state tax even if you are not required to pay federal taxes. Since FinPortfolio calculates an asset's expected return based on historical price data, defining the time horizon enables you to express your view as to what historical time period might best predict the behavior of the market going forward. For more, see our Tutorial on Value at Risk . Standard Disclaimer , Privacy and Security Policy Copyright 1999-2001 FinPortfolio. All Rights Reserved.