An overview of the Portfolio Model About Formulas About Functions Quick Fx Guide - detailed info about required functions  

Q- Fx Guide




To use the COVAR Function:

    A.    Point and Click the cell in which you want the Covariance.
    B.    Enter the formula:

 

1.    Type:       =      

       The equal sign – Indicates to Excel that you are entering a function
 

2.   Type:       COVAR  
       This is the name of the function term
     3.   Type:         (          
       Open parenthesis – Indicates the start of the argument, (which cells to be correlated)
    4.    Input:  The Argument's 1st Array - The 1st set of cells  to find the covariance between by:

a.   Clicking the 1st cell of the row (or column) of the set and dragging to last cell in row (or column) in the set (example: A1 drag to A15, release)

OR

b.   Using the keyboard cursors (arrows) arrow to the top/left most cell. Press and Hold the SHIFT key and arrow down to the bottom/right most cell and release the SHIFT key

OR

c.  Typing in the named cells – If you have already named the array (set of cells)
 

5.    Type:       ,      

     The comma - Indicates the end of 1 array and the start of the next.
 

6.   Input: The Argument's 2nd Array: Repeat Steps 4 a, b or c to enter the second ARRAY
  
     7.   Type:         )          
             Close parenthesis – Indicates the end of the COVAR argument.

  C.  Press  <Enter>

   D.  The function will automatically find the covariation between the sets of data -
             Array1  (Steps 4a-c) and Array2 (Step 6).