Multi-Period Investment Portfolio Selection of Interval Programming Based on
Quantum Optimization Algorithm

Yongqi WU¹, Tao HAI², Hui ZHANG^2*
¹ Institute of Postgraduate Study, University of Malaya, 50603 Kuala Lumpur, Malaysia
147816404@qq.com (^*Corresponding author)
² School of Computer Science, Baoji University of Arts and Sciences, Baoji, 721000, China
haitao@bjwlxy.edu.cn, zhanghuisci@tom.com (^*Corresponding author)

ABSTRACT: Considering the portfolio selection problem in emerging markets which constantly face a serious shortage of information, the single-stage method of interval analysis can estimate assets income, assets risk, and approximate ranges of assets liquidity. However, it is difficult to evaluate flexibly and accurately assets income, assets risk, and approximate ranges of assets liquidity for multi-stage investment portfolio. In this paper, a novel quantum optimization model was applied to interval analysis method for multi-stage investment portfolio. Firstly, the multi-period investment portfolio selection models are designed by using inequalities equations of interval coefficients. Secondly, to solve the multi-stage investment portfolio constraint, the quantum mechanics is used along with an adaptive strategy designed to determine the best particle`s positions for a better global position. Finally, the proposed constrained linear programming is validated by a practical example. Also, various decision-making factors were analysed for multi-period investment portfolio strategies which are compared with existing fuzzy portfolio selection models.

KEYWORDS: Multi-period investment portfolio, Interval programming, Quantum optimization algorithm.

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CITE THIS PAPER AS:
Yongqi WU, Tao HAI, Hui ZHANG, Multi-Period Investment Portfolio Selection of Interval Programming Based on Quantum Optimization Algorithm, Studies in Informatics and Control, ISSN 1220-1766, vol. 27(4), pp. 481-492, 2018. https://doi.org/10.24846/v27i4y201812