Investors Toolbox 3.4

The purpose of this software is to provide a set of tools that can help make you a more successful investor.

The Portfolio Analysis Tool will analyze your existing portfolio, and estimate the portfolio’s future average rate of return and rate of return volatility. The Portfolio Analysis Tool also automatically downloads financial data, and uses a built in valuation model to estimate the intrinsic value of each of a portfolio’s companies, and also analyzes the company’s operating history. Portfolios can be imported into the Monte Carlo Simulator, where you can model the portfolio’s performance using your existing contribution (or withdrawal) policy. If the simulation results are not satisfactory, you can use the Monte Carlo simulator to explore the effect of adjusting your contribution schedule and portfolio composition.

You can also pass a set of portfolios to the Monte Carlo simulator and put it into Optimization Mode, where it will perform multiple simulations at varying contribution or withdrawal rates in order to find the portfolio that is best for your particular goal. Alternately, you can use the Mean Variance Optimizer to create a sample of portfolios along the efficient frontier, and use these as the input to the Monte Carlo simulator’s optimization process. The output of both the Monte Carlo simulator and Mean Variance Optimizer can be plotted using a built in plotting utility, which allows you to create customized plots of one or more data series.