This known as ``whip-saw . Tracking errors create minor problem in continuation , since the original strategy is supposed to be infeasible . The solution is to keep the promise f fixed but vary k to be consistent with current wealth (Dybvik ) Gomes (2000 ) listed the choices for optimal portfolio for a retirement saving system : life-cycle portfolio allocation portfolio choice with return predictability and trading with loss-averse investors . In life-cycle portfolio allocation a finitely-lived investor faces mortality risk , borrowing and short-sale constraints and...











SUBJECTS

