https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm JADELottery's Blog: Interesting Investment Problem en-us Lottery Post RSS Generator https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73802 https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73802 Sat, 28 Jan 2012 00:14:45 GMT JADELottery <br />it's only when you assign the variables does it become: either or, not both.<br /><br />when you're not assigning variables or in other words, not examining the equation does the variables take on both qualities.<br /><br />the duality is in the continuum and the assignment is in the instum.

]]> JADELottery https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73801 https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73801 Sat, 28 Jan 2012 00:08:49 GMT JADELottery <br />Also, when solving these set of equations, you'll see the underlying aspect of duality.<br /><br />In that, when you solve for one, you're actually solving for both in a simultaneous symmetry solution.<br /><br />The duality comes from the fact Stock A's variables are interchangeable with Stock B's variable and the reality is that in general, Stock A can be Stock A or B and Stock B can be B or A in a exclusive-or situation.<br /><br />Either or, not both... hence, duality.... [ More ]

]]> JADELottery https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73800 https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73800 Sat, 28 Jan 2012 00:00:13 GMT JADELottery <br />Typical market value is given in a Last Price computation, so, the equations you've given have not factored those in.<br /><br />Yes, the Asking Price is involved when it come to buying the stock, but we need to include the Last Price in the final equations.<br /><br />Good try though.

]]> JADELottery https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73796 https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73796 Fri, 27 Jan 2012 22:34:39 GMT time*treat Oh, edit the 0.95s to be 0.995.

]]> time*treat https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73795 https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm#c73795 Fri, 27 Jan 2012 22:23:00 GMT time*treat X = 1/2 ((0.95)$T-$7) / Ap, and Y = 1/2 ((0.95)$T-$7)/Bp ?<br />Or are you trying to get it down to the penny

]]> time*treat https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm https://blogs.lotterypost.com/jadelottery/2012/1/interesting-investment-problem.htm Fri, 27 Jan 2012 21:36:48 GMT JADELottery I have an interesting investment problem.

I have an account with Scottrade and I have two different stocks that I'm investing in.

They both currently have a market value that has one of them much greater than the other.

I would like to take a fixed Total investment amount, T, and disburse it between the two stocks, A and B, in such a way the end market value of each is nearly equal.

By equal we mean, the stocks can have a few cents difference between them, but no more than a few cents.

Both of the stocks also are under a dollar and would have a commission fee of $7.00 for each trade + 0.5% of each stock's value.

Using the known information we can set up a table of the known values.

T - Total Investment amount

Stock A Stock B

Last Price AL BL

Ask Price AP BP

Current Shares AC BC

Buy Shares X Y

How much should X and Y be to make the stock values nearly equal?

... [ More ]

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