The beam transfer matrix, often called the ABCD matrix, is one of the essen
tial mathematical instruments in optics. It is a unimodular matrix whose de
terminant is 1. If all the elements are real with three independent paramet
ers, this matrix is a 2 X 2 representation of the group Sp(2). It is shown
that a real ABCD matrix Can be generated by two shear transformations. It i
s then noted that, in para-axial lens optics, the lens and translation matr
ices constitute two shear transformations. It is shown that a system with a
n arbitrary number of lenses can be reduced to a system consisting of three
lenses.