Performance Evaluation of Tehran Stock Exchange Brokerage Firms with Fuzzy Analytic Hierarchy Process and TOPSIS Methods

In today’s competitive environment, propen evaluation of firms’ performance, is an important issue not only for investors and creditors, but also for the firms that are in the same sector. Determining the competitiveness of the firms and evaluating the financial performance of them is also crucial for the sector’s development. The aim of this study is evaluating performance of brokerage firms in Tehran Stock Exchange. Fuzzy Analytic Hierarchy Process (FAHP) and Technique for Order Performance by Similarity to Ideal Solution (TOPSIS) methods integrated in this study and used for evaluating performance of brokerage firms of Tehran Stock Exchange. Present study uses 5 factors and 19 sub-factors in evaluating process of brokerage firms. 39 firms were selected from active brokerage firms that their financial statements were available, and then they were evaluated and ranked. FAHP method is used in determining the weights of the criteria by decision makers and then rankings of the firms were determined by TOPSIS method.