> ## Documentation Index
> Fetch the complete documentation index at: https://docs.fincept.in/llms.txt
> Use this file to discover all available pages before exploring further.

# Efficient Frontier

> Traces the complete efficient frontier by computing portfolios at different return levels. The frontier represents the set of portfolios offering the maximum expected return for each level of risk.

**Use Cases:**
- Visualizing the risk-return tradeoff
- Identifying the tangency (maximum Sharpe) portfolio
- Asset allocation across multiple risk profiles
- Communicating investment opportunities to clients

**Mathematical Background:**
Computes the efficient frontier by solving the minimum variance problem for multiple target return levels, from the minimum variance portfolio to the maximum return portfolio.

**Credits:** 5 per request [Tier: PRO, Credits: 5]



## OpenAPI

````yaml api-specs/portfolio.json post /quantlib/portfolio/optimize/efficient-frontier
openapi: 3.1.0
info:
  title: FinceptQuantLib API - Portfolio
  description: >-
    Portfolio optimization and risk management module for institutional-grade
    portfolio construction, analysis, and monitoring. Includes mean-variance
    optimization, Black-Litterman, risk parity, and comprehensive risk metrics.


    **Tier:** Pro (5 credits per request)


    **Key Features:**

    - Mean-variance optimization (minimum variance, maximum Sharpe, target
    return)

    - Efficient frontier construction with tangency portfolio identification

    - Black-Litterman model for Bayesian view incorporation

    - Risk parity strategies (ERC, HRP, inverse volatility)

    - Comprehensive risk metrics (VaR, CVaR, tracking error, information ratio)

    - Advanced portfolio analytics (risk contribution, drawdown,
    diversification)
  version: 3.0.0
  contact:
    name: Fincept API Support
    url: https://fincept.in
servers:
  - url: https://api.fincept.in
    description: Fincept API Production Server
security:
  - APIKeyHeader: []
tags:
  - name: quantlib-portfolio
    description: Portfolio optimization and risk management endpoints
    x-displayName: Portfolio
paths:
  /quantlib/portfolio/optimize/efficient-frontier:
    post:
      tags:
        - quantlib-portfolio
      summary: Efficient Frontier
      description: >-
        Traces the complete efficient frontier by computing portfolios at
        different return levels. The frontier represents the set of portfolios
        offering the maximum expected return for each level of risk.


        **Use Cases:**

        - Visualizing the risk-return tradeoff

        - Identifying the tangency (maximum Sharpe) portfolio

        - Asset allocation across multiple risk profiles

        - Communicating investment opportunities to clients


        **Mathematical Background:**

        Computes the efficient frontier by solving the minimum variance problem
        for multiple target return levels, from the minimum variance portfolio
        to the maximum return portfolio.


        **Credits:** 5 per request [Tier: PRO, Credits: 5]
      operationId: efficient_frontier
      requestBody:
        required: true
        content:
          application/json:
            schema:
              type: object
              required:
                - expected_returns
                - covariance_matrix
              properties:
                expected_returns:
                  type: array
                  items:
                    type: number
                  description: Expected returns for each asset (annualized)
                  example:
                    - 0.08
                    - 0.12
                    - 0.1
                    - 0.15
                covariance_matrix:
                  type: array
                  items:
                    type: array
                    items:
                      type: number
                  description: Asset covariance matrix (annualized)
                  example:
                    - - 0.04
                      - 0.006
                      - 0.008
                      - 0.01
                    - - 0.006
                      - 0.09
                      - 0.012
                      - 0.015
                    - - 0.008
                      - 0.012
                      - 0.0625
                      - 0.018
                    - - 0.01
                      - 0.015
                      - 0.018
                      - 0.16
                n_points:
                  type: integer
                  description: >-
                    Number of portfolios to compute along the frontier. Higher
                    values give smoother curves.
                  default: 50
                  example: 50
                  minimum: 10
                  maximum: 200
      responses:
        '200':
          description: Efficient frontier successfully computed
          content:
            application/json:
              schema:
                type: object
                properties:
                  success:
                    type: boolean
                    example: true
                  data:
                    type: object
                    properties:
                      frontier:
                        type: array
                        items:
                          type: object
                          properties:
                            expected_return:
                              type: number
                              description: Portfolio expected return
                              example: 0.1
                            volatility:
                              type: number
                              description: Portfolio volatility
                              example: 0.1856
                            sharpe_ratio:
                              type: number
                              description: Portfolio Sharpe ratio
                              example: 0.3772
                            weights:
                              type: array
                              items:
                                type: number
                              description: Portfolio weights
                              example:
                                - 0.4
                                - 0.25
                                - 0.25
                                - 0.1
                        description: >-
                          Array of efficient portfolios sorted by increasing
                          return
                      n_points:
                        type: integer
                        description: Number of frontier points returned
                        example: 50
        '401':
          $ref: '#/components/responses/UnauthorizedError'
        '402':
          $ref: '#/components/responses/InsufficientCreditsError'
        '422':
          $ref: '#/components/responses/ValidationError'
components:
  responses:
    UnauthorizedError:
      description: Authentication information is missing or invalid
      content:
        application/json:
          schema:
            type: object
            properties:
              detail:
                type: string
                example: Invalid API key
    InsufficientCreditsError:
      description: Insufficient API credits
      content:
        application/json:
          schema:
            type: object
            properties:
              detail:
                type: string
                example: Insufficient credits. This endpoint requires 5 credits.
    ValidationError:
      description: Request validation error
      content:
        application/json:
          schema:
            type: object
            properties:
              detail:
                type: array
                items:
                  type: object
                  properties:
                    loc:
                      type: array
                      items:
                        type: string
                    msg:
                      type: string
                    type:
                      type: string
          example:
            detail:
              - loc:
                  - body
                  - expected_returns
                msg: field required
                type: value_error.missing
  securitySchemes:
    APIKeyHeader:
      type: apiKey
      in: header
      name: X-API-Key
      description: >-
        API key for authentication. Get your key at
        https://api.fincept.in/auth/register

````