Untitled

Abstract

This paper investigated system of stochastic differential equations with prominence on disparities of drift parameters. These problems were solved analytical by adopting the Ito's method of solution and three different investment solutions were obtained consequently. The necessary conditions were achieved which govern various drift parameters in assessing financial markets. Therefore, the impressions on each solution of investors in financial markets were analyzed graphically. Secondly, stock price data of Transco, LTD were analyzed which covariance matrix were considered and analysis were logically extended to stochastic vector differential equation where control measures were incorporated that would help in predicting different stock price processes, and the result obtained by exploring the properties of the fundamental matrix solution where asymptotic null controllability results were obtained by the singularity of the controllability matrix a function of the drift. Finally, the effects of the significant parameters of stochastic variables were successfully discussed.