... portfolio (h1, h2). Substituting 17. 39 in 17. 37 and 17. 38 we obtain23=13h1+13(h1+ h2), ( 17. 40) and 23=13(h1+ h2) +13h2. ( 17. 41)The solution is h1= h2= 2/3 ... Bertsekas. Necessary and sufficient conditions for existence of an optimal portfolio.Journal of Economic Theory, 8:235–2 47, 1 974 .[2] Douglas T. Breeden and Robert Litzenberger. Prices of state-contingent ... Journal of Business, 51:621–651, 1 978 .[3] Peter Diamond. The role of a stock market in a general equilibrium model with technologicaluncertainty. American Economic Review, 48 :75 9 77 6, 19 67. [4]...