Affiliations: [a] Doctoral Program in Management Sciences, Universidad Autómoma de Occidente, Mexico
| [b] Department of Economic and Management Sciences, Universidad Autómoma de Occidente, Mexico
| [c] Management Department, Universidad de Sonora, Mexico
| [d] Facultad de Ciencias Economicas y Administrativas, Universidad Católica de la Santísima Concepción, Chile
Correspondence:
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Corresponding author. Pavel Anselmo Alvarez, Department of Economic and Management Science, Universidad Autómoma de Occidente, Mexico. E-mail: pavel.alvarez@uadeo.mx.
Abstract: The objective of the paper is to present a multiple criteria hierarchical process (MCHP) approach for portfolio selection in a stock exchange. One of the problems that investors usually face is which stock should be included in the portfolio. This paper helps investors answer that question, and the paper presents an MCHP approach using different criteria based on financial ratios that the decision maker (in this case, the investor) will give different weights to make a portfolio based on her preferences; different importance is given to each criterion. An example using the Mexican Stock Exchange is presented.
