• DocumentCode
    1551593
  • Title

    Empirical Portfolio Selection Strategies With Proportional Transaction Costs

  • Author

    Györfi, László ; Walk, Harro

  • Author_Institution
    Dept. of Comput. Sci. & Inf. Theor., Budapest Univ. of Technol. & Econ., Budapest, Hungary
  • Volume
    58
  • Issue
    10
  • fYear
    2012
  • Firstpage
    6320
  • Lastpage
    6331
  • Abstract
    Discrete time growth optimal investment in stock markets with proportional transactions costs is considered. The market process is modeled by a first-order Markov process. Not assuming that the distribution of the market process is known, we show empirical investment strategies such that, in the long run, the growth rate on trajectories achieves the maximum with probability 1.
  • Keywords
    Markov processes; investment; stock markets; transaction processing; Markov process; discrete time growth optimal investment; empirical portfolio selection strategy; proportional transaction cost; stock markets; Equations; Investments; Kernel; Markov processes; Mathematical model; Portfolios; Vectors; Dynamic optimization; log-optimal investment; portfolio selection; proportional transaction cost;
  • fLanguage
    English
  • Journal_Title
    Information Theory, IEEE Transactions on
  • Publisher
    ieee
  • ISSN
    0018-9448
  • Type

    jour

  • DOI
    10.1109/TIT.2012.2205131
  • Filename
    6230655