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Utility function

• A mathematical expression that assigns a value to all possible choices. In portfolio theory the utility function expresses the preferences of economic entities with respect to perceived risk and expected return.

 
 Embedded terms in definition
 Expected return
Portfolio theory
Portfolio
Return
Risk
Utility
 
 Related Terms
 Market risk return function
Probability density function
Probability function
Utility
Utility value

<< Utility Utility value >>

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