IDEAS home Printed from https://ideas.repec.org/a/taf/apfiec/v22y2012i14p1175-1179.html
   My bibliography  Save this article

A formal methodology for aggregating multiple market views

Author

Listed:
  • Joseph Simonian

Abstract

We describe a formal aggregation procedure that allows investors to combine disparate market views, including the reasons that support them, to produce a single collective view. The methodology uses a many-valued logic to represent individual chains of reasoning and the sum absolute difference as a way of measuring disagreement between individuals. Group level views are derived by selecting the individual views that have the lowest sum absolute difference from the other views. In cases where more than one individual view possesses the minimum sum absolute difference, a variant of the game-theoretic solution concept known as the Shapley value is employed as a way to generate a compromise between the candidate views. In this way a single group-level market view can always be derived that is both formally consistent and a genuine balance between individual judgements.

Suggested Citation

  • Joseph Simonian, 2012. "A formal methodology for aggregating multiple market views," Applied Financial Economics, Taylor & Francis Journals, vol. 22(14), pages 1175-1179, July.
    • Handle: RePEc:taf:apfiec:v:22:y:2012:i:14:p:1175-1179
    DOI: 10.1080/09603107.2011.636018
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/09603107.2011.636018
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/09603107.2011.636018?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Joseph Simonian, 2014. "Copula-opinion pooling with complex opinions," Quantitative Finance, Taylor & Francis Journals, vol. 14(6), pages 941-946, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apfiec:v:22:y:2012:i:14:p:1175-1179. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAFE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.