Recent Trends for Optimization in Financial Engineering

12/31/98


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Table of Contents

Recent Trends for Optimization in Financial Engineering

OUTLINE

Example: Tuition Planning

FORMULATION

DATA and SOLUTIONS

Static Portfolio Model

Markowitz model

Dynamic Model

Static Markowitz Solution

Results with Static Model

Other Model Gains

Current Study

OUTLINE

Capacity Expansion Problem

Utility Function Approach

Measuring Investor Value

Determining Risk Contribution

Relation to Capacity Evaluation

Computing Capacity Value

Example: Capacity Planning

Stochastic Programming Model

Solution Results

OUTLINE

Power Systems

Power System Formulation

Power System Results

OUTLINE

GENERAL MULTISTAGE MODEL

CONCLUSIONS

Author: I&OE

Email: jrbirge@umich.edu

Home Page: http://www-personal.engin.umich.edu/~jrbirge