Expected return
Variance
Standard deviation – means how much fluctuations or risk you can expect from your portfolio
Risk premium – E(r)-rf
Ex.return
Risk-free return
Risk aversion
risk premium
Sharpe ratio – reword to portfolio( the higher Sharpe ratio,
the more reword you may receive from the portfolio)
𝑆=
𝑟𝑝 −𝑟𝑓
𝜎
Or residual risk/s.div