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Effective Number of Assets Constraints

PortfolioOptimisers.set_number_effective_assets! Function
julia
set_number_effective_assets!(args...)

Add an effective number of assets constraint to the JuMP optimisation model.

The fall-through method does nothing. The concrete method introduces an auxiliary variable nea and enforces ‖w‖₂ ≤ nea via a SecondOrderCone constraint, combined with nea * √val ≤ k. This is equivalent to requiring the effective number of assets to be at least val.

Arguments

  • model::JuMP.Model: The JuMP optimisation model.

  • val::Number: Minimum required effective number of assets.

Returns

  • nothing.

Related

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