Study case of the stochastic tarot® model: Comparison of the economic performance of Brazilian Electric Power Distribution Companies considering the inherent risks of the sector

This document proposes the application of a stochastic economic model using real data from national regulated distribution companies to evaluate economic performance considering the inherent risks of the sector. Furthermore, through the use of economic theories such as: risk-return binomial in the Markowitz plan and utility function of John Von Neumann and Oskar Morgenstern, the case study results in a comparison of the economic performances of the companies in a stochastic context where the risks are considered.