Harry Markowitz revolutionized the way people and organizations invest by developing MPT, a groundbreaking investment theory that showed that the return of an individual stock is not as important as the return of the entire portfolio.
Markowitz was one of three recipients of the 1990 Nobel Prize in Economics for his theory of portfolio selection, which the Nobel Committee called “the first pioneering contribution to the field of financial economics.”
His theory of MPT was also cited by the Nobel Committee as the basis for the Capital Asset Pricing Model (CAPM), “the second significant contribution to the theory of financial economics”.