Increasing bioenergy demand and energy security concerns have driven policy and research on bioenergy production and its link to sustainable agro-ecosystem management. Coupled agricultural production and agro-ecological systems models analyze multi-dimensional and complex processes: bioenergy production changes land use and thus reallocates ecosystem services. This project, funded by USDA-NIFA AFRI Foundational Program, aims to model spatially-explicit optimal bioenergy production systems given existing renewable fuel standards (RFS2) and emerging future demand for bioenergy as a jet fuel. We propose to extend modern portfolio theory (MPT) for use in sustainable agro-ecosystem management, agro-ecosystems are modeled as an ecosystem portfolio, landuse changes are investments, and bioenergy production and other ecosystem services are returns from these investment.This project is a collaborative teamwork with the Department of Agricultural Economics, Mississippi State University, the Department of Wildlife, Fisheries & Aquaculture, Mississippi State University, and the Department of Agricultural and Resource Economics, University of Tennessee, Knoxville.