Pareto comparison

Discard every option that some other option beats on all objectives at once. What survives is the set where any gain in one good costs you something in another. Unlike a priority order, this narrows the field without picking the winner.

Discard every option that some other option beats on all objectives at once. What survives is the set where any gain in one good costs you something in another. Unlike a priority order, this narrows the field without picking the winner.

Example

You rank five fund mixes on return, liquidity, and simplicity. A four-fund mix returning 6% is beaten outright by a three-fund mix returning 6.4% with the same cash access and fewer holdings, so it drops out and you and your spouse argue over the three survivors.