Particle Swarm Optimization

Dr. Marcelo Sztainberg

Department of Computer Sciences

Northeastern Illinois University

Paper Presentation "A Particle Swarm Optimization Approach in the Construction of Optimal Risky Portfolios", by G. Kendall and Y. Su, Artificial Intelligence and Applications, 2005. This paper shows an application of Particle Swarm Optimization, a method closely related to swarm robotics, to the resolution of a common financial problem: the construction of Optimal Risky Portfolios. I will do a brief introduction of optimization techniques as well as some financial terminology. Methodology and results from the paper will be presented. We will have a brief discussion on possible improvements to the presented work and some experiments that can be done in our Beowulf cluster.