A Model for Portfolio Selection Based on Particle Swarm Optimization with Escape Velocity
Xiuli Wang · 2010
An improved model for portfolio selection based on particle swarm optimization with escape velocity (EVPSO) algorithm is proposed. Firstly, the predilection coefficient is introduced to the model to make the investor choose the invest project according to their preference and find the balance between the invest income and risk conveniently. Secondly, the EVPSO algorithm is applied to the model to achieve the optimal ratio. Finally, a demonstration is presented by analysis of three stocks.