Investment Selection
This example illustrates a hypothetical example for investments selection by utilizing rating and ranking aggregation methods. Assume that we have to select between three available investments. In this simple example, we take into account only two attributes the Return on Investment (simple ROI) and the Payback Period (PP).
Note
The following attributes(statistics) have been selected:
Return on Investment (ROI) measures the probability of gaining a return from an investment.
Payback period (PP) measures the time taken to recover the initial investment.
Investments’ Attributes
investment |
ROI |
PP |
|---|---|---|
investment1 |
0.8 |
4.0 |
investment2 |
0.4 |
1.5 |
investment3 |
0.1 |
1.0 |
The following notebook shows how to rate and rank investments by utilizing rating and ranking aggregation methods.