Challenge

The problem for this project was to generate a framework for investment on different opportunities related to companies based on their profit, carbon emission, payment of carbon fines and other factors. Investors move from opportunity to opportunity using personal heuristics and the objective was to see where investors end up investing based on all the associated factors. The secondary academic objective was to compare AnyLogic, MESA and NetLogo on this project. tdddddd

Solution

A solution was generated in AnyLogic using Agent-Based modeling. The visualization of the simulation was important to see how investors were moving through the investment space. This can be seen in figure 1, that shows 25 investment opportunities with hundreds of investors making decisions. The investments opportunities evolve with time with new values that can make an investor move to that opportunity.

Figure 1 – Investors choosing a management investment option

Outcome

This project was only an academic exercise to test and understand carbon-related investment theories and was used to support the theoretical research. The research also compared three simulation methodologies using this business case with the following conclusions:

• Anylogic and NetLogo are equally easy to use for moderate scale projects in the sustainability area.
• Repast is a bit tougher.
• Anylogic looks much better with increased complexity.

Project Features

• Industry: Investment
• Model: Agent-Based
• Duration: 2 weeks