Optimal Dividend Distribution Under Drawdown and Ratcheting Constraints on Dividend Rates

Angoshtari, B; Bayraktar, E; Young, VR

Angoshtari, B (reprint author), Univ Washington, Dept Appl Math, Seattle, WA 98195 USA.

SIAM JOURNAL ON FINANCIAL MATHEMATICS, 2019; 10 (2): 547

Abstract

We consider the optimal dividend problem under a habit-formation constraint that prevents the dividend rate from falling below a certain proportion of......

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