Deduce the differential equation for a derivative dependent on the prices of two non-dividend-paying traded securities by

Question:

Deduce the differential equation for a derivative dependent on the prices of two non-dividend-paying traded securities by forming a riskless portfolio consisting of the derivative and the two traded securities.

Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...