Autors: Popov, G. I., Anguelov, K. P., Popova, A. P., Miglena Anguelova.
Title: A mathematical approach to determine the financial portfolio of equal risky deposit financial assets
Keywords: invest, diversification, analytical model

Abstract: In the invest theory and practice is widely spread the approach of reducing the negative influence of the risky assets by their division in a portfolio. The necessity for diversification of the assets is obvious and it’s due to the desire for reducing the risk of the entire portfolio. On the other hand, there are little deliberations on the over-fragmentation of the assets. Every diversification has own price and the over-fragmentation of the assets in the portfolio makes the approach counter-productive. In the paper is presented a mathematical approach which determines the effective level of allocation of the Cash Financial Asset in the integrated portfolio. In this article are adopted the constraints about the division of the asset on equal parts and equal risk level of each fraction. It proves that there is an optimal portfolio for a given asset size.

References

    Issue

    AIP Conference Proceedings, vol. 2172, issue 110016, pp. 7, 2019, Bulgaria, American Institute of Physics, https://doi.org/10.1063/1.5133619

    Copyright AIP Conference Proceedings

    Вид: публикация в международен форум, публикация в издание с импакт фактор, публикация в реферирано издание, индексирана в Scopus и Web of Science