Quantum Portfolios of Observables and the Risk Neutral Valuation Model

Fredrick Michael

Papers from arXiv.org

Abstract: Quantum Portfolios of quantum algorithms encoded on qbits have recently been reported. In this paper a discussion of the continuous variables version of quantum portfolios is presented. A risk neutral valuation model for options dependent on the measured values of the observables, analogous to the traditional Black-Scholes valuation model, is obtained from the underlying stochastic equations. The quantum algorithms are here encoded on simple harmonic oscillator (SHO) states, and a Fokker-Planck equation for the Glauber P-representation is obtained as a starting point for the analysis. A discussion of the observation of the polarization of a portfolio of qbits is also obtained and the resultant Fokker-Planck equation is used to obtain the risk neutral valuation of the qbit polarization portfolio.

Date: 2010-04
References: Add references at CitEc
Citations:

Downloads: (external link)
http://arxiv.org/pdf/1004.0844 Latest version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:arx:papers:1004.0844

Access Statistics for this paper

More papers in Papers from arXiv.org
Bibliographic data for series maintained by arXiv administrators (help@arxiv.org).