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No abstract uploaded!

The log-optimal strategy in gambling and asset allocation problem attempts to maximize the expectation of the logarithmic rate of return but not the gross wealth itself. This strategy has been shown to have long termsuperiority overother strategies in theory. Another remarkable virtue is it allows updating the real-time market information quickly which could increase of the logarithmic rate of return. We will prove these properties ourselves in a simple way. We further consider how to do asset allocation by applying the log-optimal strategy in practice. The distribution function of the returns is usually unknown and need to be estimated from the history in a real world. The estimation error will affect the asset allocation directly, but such effect mayresult in a "butterfly effect" which could bring an investment disaster. Therefore, it is an important issue to answer whether there is logoptimal strategy resisted "butterfly effect". We develop a new log-optimal strategy based on the allocation utility which is a quadratic approximation to the expectation of the logarithmic rate of return. We show that the upper bound of the allocation utility deviation can be controlled by the l_1-norm of portfolio and l_∞-norm of the bias of variance matrix estimator. This turns out that our proposed strategy is robust. We apply our strategy for NYSE data. The results showed that our strategy has high performance in return.

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This paper mainly focuses on the optimized methods of the sprinkling irrigation for greenery patches, by maximally equalizing the amount of water sprayed on a certain area. Various models are being discussed, where the main mathematical tool is analytic geometry, employed to research the possible effects of different proposals. Firstly, the simplest models are built based on a totally ideal situation. Assuming that sprinkling spouts are spinning over plain lawn with a set of specified radii, install them in arrangements of simple geometric figures. Areas of overlapping and blank parts are being calculated and the most reasonable arrangement of all that are studied is selected. Secondly, real factors are taken into consideration separately as follows: 1. The disequilibrium of the water that drops in a line from the sprinkling center is transformed into a functional expression, whose graphs are drawn to show the water distributed over the area; 2. The plane models are changed into solid ones on the assumption that the sprinkling spouts are placed on slopes. Analytic geometry methods are employed to describe the range of sprayed water on the oblique surface. Through calculation and analysis, models can be adjusted to specific situations. Finally, the boundary problems and landscape effects are involved.