Growth of Optimizational Principles in Portfolio Analysis through Discrete Entropic Models

There exists an extensive collection of parametric and non-parametric discrete and continuous information models but still inevitability arises to broaden supplementary parametric models to encourage flexibility in the system under study. Moreover, there appears well-built relation between information entropy and the theory of “Portfolio Analysis”. Further, various approaches of measuring risk in portfolio analysis including entropy method, divergence technique and integrated methodology etc. are accessible in the existing literature of portfolio analysis. In the present communication, our intention is to provide advancement regarding certain well convinced optimizational principles by means of new discrete entropic models, and consequently to deliver their solicitations in portfolio analysis. Additionally, the well-established principle has been enlightened through the assistance of a numerical illustration.