Goodman Portfolio

The Goodman Portfolio is a mathematical framework used in financial mathematics to model and analyze the evolution of asset prices over time. It incorporates randomness and uncertainty, allowing investors to evaluate different investment strategies under various market conditions. Essentially, it provides a structured way to understand how a collection of assets might perform together, taking into account risk and return. This helps investors make more informed decisions by considering possible future scenarios, optimizing portfolios for desired outcomes, and managing risk more effectively.