Does the function estimateFrontier find the global or local optimal portfolios?

Does the estimateFrontier function in the financial toolbox find the global or local optimal portfolios?

Answer 1

[Shruti Shivaramakrishnan]

The following link provides more information about the portfolio optimization theory: https://www.mathworks.com/help/finance/portfolio-optimization-theory-mv.html

The solvers can be explicitly set as well depending on requirements. For example:

p = setSolver(p, 'fmincon', 'Algorithm', 'trust-region-reflective', 'Display', 'off');
display(p.solverOptions.Algorithm);