Expected value calculates average future investment returns based on outcome probabilities. In finance, expected value guides portfolio construction and when to sell assets with lower future value.

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Expected value is a term used in statistics and probability to describe the average anticipated value of something in the future. It uses the probability of various outcomes to find a weighted average ...