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FUZZY ECONOMIC REVIEW

ISSN (print) 1136-0593 · ISSN (online) 2445-4192

An approach to the problem of portfolio selection

T. Lorenzana, N. Márquez, S. Sardà. Universitat Rovira i Virgili

Abstract

In this study we attempt to model a classical problem in the literature of finance, giving a different meaning to the notion of risk.

When selecting portfolios, as in all decision making processes, risk is a determining factor and it is included in classical models using statistical parameters. Our aim is to formulate a model which enables a portfolio to be created which is satisfactory for an individual who is prepared to assume a certain level of risk and which we shall approach using fuzzy set theory.

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