Single period market models are the most elementary market models. Only a single period is considered. The beginning of the period is usually denoted by the time t = 0 and the end of the period by time t = 1. At time t = 0 stock prices, bond prices,possibly prices of other financial assets or specific financial values are recorded and the financial agent can choose his investment, often a portfolio of stocks and bond. At time t = 1 prices are recorded again and the financial agent obtains a payoff corresponding to the value of his portfolio at time t = 1
