A PEEK AT THE TRADEOFF RELATIONSHIP BETWEEN EXPECTED RETURN AND RISK.

This article discusses a study which analyzed an investment problem under conditions of uncertainty. To judge the value of a contingent remainder, an investor should know something about the probability density function of present values associated with it. This study found that it is possible to fi...

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Publicado en:Quarterly Journal of Economics Vol. 81; no. 3; pp. 437 - 457
Autor principal: Summers, Robert
Formato: Artículo
Publicado: Oxford University Press / USA Aug67
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        au: Summers, Robert
        affil: London School of Economics and Political Science
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        Investments
        Investors
        Finance
        Density functionals
        Assets (Accounting)
        Selling
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          Investments
          Investors
          Finance
          Density functionals
          Assets (Accounting)
          Selling
      ab: This article discusses a study which analyzed an investment problem under conditions of uncertainty. To judge the value of a contingent remainder, an investor should know something about the probability density function of present values associated with it. This study found that it is possible to find the probability density function and to compute from it the appropriate arguments for his preference function. In conclusion, it has been found that in a certain fairly special market, an asset with a return that is not certain sells at prices reflecting aversion to risk.
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      doctype: Article
      src: R
    language: English
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