The Impact of Consumption on an Investor’s Strategy under Stochastic Interest Rate and Correlating Brownian Motions
In this work, we consider that an investor’s portfolio comprises of two assets- a risk-free asset driven by Ornstein-Uhlenbeck Stochastic interest rate of return model and the second asset a risky stock with a price process governed by the geometric Brownian motion. It is also considered that there are...
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