Optimization Model of Investment Decision Based on the Fuzzy Theory with Multiple Mental Accounts
HE Jian-min · Journal of China University of Mining & Technology(Social Science) · 2012
With the mental accounts as the theoretical framework and on the basis of behavior portfolio model,this paper introduces fuzzy mathematics to describe multiple fuzzy attributes of investors in decision-making process.The investor's mental satisfaction is depicted by using membership functions.In this paper,the investor's profits are subject to Log-Normal distribution.The risk tolerance of every mental account is measured by means of lower partial moment.Finally,the corresponding numerical simulation is suggested based on the model.