The Optimal Invsetment Portfolio Model of SMBs Based on the Regret Aversion

摘要

It is under analysis that the capital accumulation process of SMBs is slow and difficult,when they use their wealth for investment decisions,they particularly evaluate the effectiveness of their decisions.They will feel extremely disappointed and suffer from the loss when they made wrong decisions,and due to the correct decision,the end of the wealth is greater than or equal to expected returns of wealth,they will feel unparalleled "happy".They are regret aversion type investment decision-makers.The paper refers to this important concepts of regret aversion from the principle utility maximization,to study the optimal investment decision model of SMBs based on regret aversion.The final results of the study are in line with the actual of SMBs.Using the interrelated tools can obtain the portfolio frontier of the model,and get the optimal investment ratio.