Explaining the fuzzy genetic model of choosing a resilient supplier portfolio in the supply chain of the construction industry under recession conditions

Subject Areas : Financial Knowledge of Securities Analysis

amir mohtasham ¹ , taghi torabi ^{2 *} , reza radfar ³ , mohammadereza motadel ⁴ , nazanin pilehvari ⁵

1 - azad university
2 - science and research branch
3 - Professor of Industrial Management Department, School of Management and Economics, Science and Research Branch, Islamic Azad University, Tehran, Iran. (Corresponding Author):
4 - Assistant Professor, Department of Industrial Management, Islamic Azad University
5 - Associate Professor, Department of Industrial Management, Islamic Azad University

Received: 2023-09-23 Accepted : 2024-06-18 Published : 2024-06-29

Keywords: Fuzzy synthetic evaluation, Genetic algorithm, Portfolio selection,

Abstract :

The purpose of this paper is to present a new technique to the portfolio selection using Genetic Algorithm and Fuzzy Synthetic Evaluation. Portfolio selection is a multi-objective/criteria decision-making problem in financial management. The proposed approach (Genetic Algorithm and Fuzzy Synthetic Evaluation) solves the problem in two stages. In the first stage، by using genetic algorithm and fuzzy synthetic evaluation، weight of criteria will be calculated. In second stage، using Fuzzy Synthetic Evaluation، Portfolios will be prioritized. A multi objective genetic algorithm is used to determine return and risk in the efficient frontier in Tehran stock market. In this research, we have used of firms’ performance between 1396-1400 in civil engineering, construction, investment and construction materials and tools manufacturers in order to determine portfolio selection. The main advantage of proposed approach is helping an investor to find a portfolio which have Best performance، portfolio selection doesn’t rely to expert knowledge.