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Dowd (version 0.12)

PCAPrelim: Estimates VaR plot using principal components analysis

Description

Estimates VaR plot using principal components analysis

Usage

PCAPrelim(Ra)

Arguments

Ra
Matrix return data set where each row is interpreted as a set of daily observations, and each column as the returns to each position in a portfolio position

References

Dowd, K. Measuring Market Risk, Wiley, 2007.

Examples

Run this code
# Computes PCA Prelim
   # This code was based on Dowd's code and similar to Dowd's code,
   # it is inconsistent for non-scalar data (Ra).
   library(MASS)
   Ra <- .15
   PCAPrelim(Ra)

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