#good–deal_bounds

Good–deal bounds

Good–deal bounds are price bounds for a financial portfolio which depends on an individual trader's preferences. Mathematically, if is a set of portfolios with future outcomes which are "acceptable" to the trader, then define the function  :{\mathcal {L}}^{p}\to \mathbb {R} } by :\exists V_{T}\in A_{T}:X+t+V_{T}\in A\right\}=\inf \left\{t\in \mathbb {R} :X+t\in A-A_{T}\right\}}

Sun 30th

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