%0 Journal Article %A Paul Bolster %A Sandy Warrick %T Matching Investors with Suitable, Optimal and Investable Portfolios %D 2008 %R 10.3905/jwm.2008.701851 %J The Journal of Wealth Management %P 53-63 %V 10 %N 4 %X Suitability is a legal concept that refers to the propriety of the match between the individual and his or her portfolio. The authors develop a model of suitability using the Analytic Hierarchy Process (AHP) to create unique asset allocations for individual investors based on their personal attributes. They then compare the mean-variance performance of these suitable model portfolios with portfolios generated using mean-variance optimization. They find that minor alterations to the AHP model and optimization inputs minimize the distinction from a mean-variance efficient portfolio. Finally, they show that a wide range of model portfolios can be closely matched with a small selection of mutual funds.TOPICS: Portfolio construction, statistical methods, mutual funds/passive investing/indexing, performance measurement %U https://jwm.pm-research.com/content/iijwealthmgmt/10/4/53.full.pdf