### “Diversifying the Risk Associated with Exploration”

**Authors:**Sjur D. Flåm and Sverre Storøy,

**Affiliation:**Christian Michelsen Research and University of Bergen

**Reference:**1986, Vol 7, No 2, pp. 83-92.

**Keywords:**Stochastic models, entalpic pentalty, portfolio problems

**Abstract:**This paper is concerned with the allocation of exploratory efforts under the limitation of a fixed budget. A chance constrained problem is formulated. To solve this problem an algorithm is developed which is based on the entropic penalty approach recently presented by Ben-Tal.

PDF (834 Kb) DOI: 10.4173/mic.1986.2.3

**References:**

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**BibTeX:**

@article{MIC-1986-2-3,

title={{Diversifying the Risk Associated with Exploration}},

author={Flåm, Sjur D. and Storøy, Sverre},

journal={Modeling, Identification and Control},

volume={7},

number={2},

pages={83--92},

year={1986},

doi={10.4173/mic.1986.2.3},

publisher={Norwegian Society of Automatic Control}

};