From 307e1276c3e0700d85a11cf2e8f95006c5308ca5 Mon Sep 17 00:00:00 2001
From: ABR26 <81186259+ABR26@users.noreply.github.com>
Date: Tue, 27 May 2025 19:02:50 +0100
Subject: [PATCH] Create SimulatingAssetDecay
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Simulation of Asset Decay and Rebalancing Logic
This repository contains a basic Python simulation that models portfolio value over time with randomized volatility effects and scheduled rebalancing. It is not intended to predict markets, but to stress-test allocation logic under stochastic pressure.

💡 Key Features
Simulates a 65/35 split between equities and capital preservation assets

Introduces volatility through a randomized multiplier (1–2x) applied to equity returns

Applies monthly rebalancing logic to simulate passive allocation decay and recovery

Tracks value over 10 periods, repeated for 30 independent runs

Identifies outcomes where total value collapses below a defined threshold

📈 Use Cases
Testing rebalancing assumptions

Exploring portfolio fragility under volatility

Visualizing the downside effects of poor variance structures
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 SimulatingAssetDecay | 25 +++++++++++++++++++++++++
 1 file changed, 25 insertions(+)
 create mode 100644 SimulatingAssetDecay

diff --git a/SimulatingAssetDecay b/SimulatingAssetDecay
new file mode 100644
index 0000000..74a312d
--- /dev/null
+++ b/SimulatingAssetDecay
@@ -0,0 +1,25 @@
+import random
+Result = []
+Destiny = []
+for i in range(30):
+    Eq = 65
+    Ca = 35
+    p = 0
+    for i in range(10):
+        Eq = Eq*(float(1.05))*((random.randint(1,200)/100)) 
+        Ca = Ca*float(0.95)
+        Value= Eq+Ca  
+        #print("Value",Value) 
+        Eq = Value*float(0.65) 
+        Ca = Value*float(0.35)
+        if i==4:
+            #print(Value)
+            Result.insert(0,Value)
+            if Value<50:
+                #print("Low",Value)
+                Destiny.insert(0,Value)
+                print("Under 50:",len(Destiny))
+#ReturnUnitRisk = (sum(Result)/30)/((max(Result)-min(Result)))
+#print("X Bar",(sum(Result)/30))
+#print("Range",max(Result)-min(Result))
+#print('ReturnUnitRisk...X Bar / Range ',ReturnUnitRisk)