QuantConnect / QuantConnect/Lean

Add Buying Power / Leverage Option to PortfolioConstructionModel

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depth feature framework
Dominant language
C#
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Avg merge
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Merged PRs (30d)
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Description

Expected Behavior
  • PortfolioConstructionModel respect equities and forex leverage
Actual Behavior
  • PortfolioConstructionModel implementatios aren't using any leverage for equities and forex.
Potential Solution
  • PortfolioConstructionModel factor in security leverage when calculating percents or uses a PortfolioTarget API method that does so.
  • Since this would be a breaking change, it could be an optional setting of the PCM.
Reproducing the Problem

N/A

System Information

N/A

Checklist
  • I have completely filled out this template
  • I have confirmed that this issue exists on the current master branch
  • I have confirmed that this is not a duplicate issue by searching issues
  • I have provided detailed steps to reproduce the issue

Contributor guide

Open the contributing guide

First steps

  1. Read the whole issue, then the project's contributing guide.
  2. Comment on the issue to say you are picking it up — it saves two people doing the same work.
  3. Fork the repository and make your change on a branch.
  4. Open a pull request that references the issue number.

Research direction

Start with the PortfolioConstructionModel implementations and the PortfolioTarget API mentioned in the issue, then trace how equity and forex leverage is represented. Determine the scope of an optional setting that preserves existing behavior; done means portfolio targets account for security leverage and the relevant behavior is covered by tests.

Written by the indexing model from the issue text.

Assessment

Tech stack
csharp
Domain
fintech-quant
Issue type
Feature
Difficulty
5/5
Estimated time
Over a week
Activity status
Stale
Clarity
Mostly clear
Newbie friendliness
25/100

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