The Design And Implementation Of Personal Financing Decision-making Support System Based On Multi-attribute Decision-making Method

With the rapid development of the national economy in our country, the national income which have constantly increased and the increasingly perfected financial market have provided a background for the emergence of demand for personal financing. How to make a reasonable personal financing plan and choose an appropriate investment have drawn increasingly concerns. This is how personal financing comes into being.As lots of individuals lack related professional knowledge, personal financing businesses are mainly undertaken by commercial banks. However, commercial banks charge an amount of fees for personal financing services, and the personal financing services provided by commercial banks are essentially concerned with rich customers and it is impossible to find a service which is tailored for the majority. The capabilities of the staff of personal financing service in commercial banks vary, with low service quality, and the advantages of professionals could not be properly utilized.Today’s personal financing researches mainly focus on financing service of commercial banks. On one hand, some scholars are essentially doing research in terms of personal financing market, personal financing products and personal financing service provided by commercial banks. On the other hand, other scholars have analyzed mature personal financing experience in developed country in multiple perspectives, and tried to work out a theoretical support for personal financing which is suitable for China.Based on the above, the realization of personal financing decision-making system will be theoretically conducive to the further transformation of the definition of personal financing and providing more reasonable personal advice for personal financing as well.Multi-attribute decision-making problem has been applied in various industries for its effective theories. It can offer optimal decision method or strategies concerning a particular problem in practice.This thesis is to adopt multi-attribute decision-making methods in personal financing, adopt different multi-attribute decision-making methods according to different financing methods in the hope of providing practical decision-making advice. This paper has investigated current portfolio models and multi-attribute decision-making methods, and finally three major financing decision-making models are formed. The three models are the mixed proportion of financial products, portfolio and recommendation of securities, combined with AHP, Mean Variance Model and information entropy method.Data source of this thesis are the annual statement and quarterly statement of each listed company. The authenticity of original data provides the possibility of further research. And the decision-making method adopted in this paper is the optimal methods after comparison under the same conditions.The innovational point of this paper is that risk aversion coefficient is considered based on Markowitz portfolio, and quadratic programming is adopted to solve the problem. This enables different investors to choose their investment arrangements according their risk preference. And in terms of recommendation of personal securities, personal mental account is added on top of information entropy in order to achieve the result of recommending different securities to different people according to their personal preference.The structure of this paper is as follows:Chapter One Introduction:briefly discusses the background, purpose and method of this paper.Chapter Two Literature Review:manly reviews the theories involved in this paper.Chapter Three Data Analysis:analyzes the current situation and trend of personal financing, introduces major financing products and introduces the risk preference of investors and some related theories as well.Chapter Four:chooses models and multi-attribute decision-making method for personal financing model and introduces related theories.Chapter Five:introduces the goals of personal financing decision-making system, the general structure and functions.Chapter Six:verifies the already designed and realized personal financing decision-making system.Chapter Seven:concludes the results of the research, analyzes the shortcomings and future researches of this paper, and further development of this decision-making system as well.