Explain an example of Brownian motion, where it is used
Explain an example of Brownian motion, where it is used.
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For illustration, Brownian motion is used in the modelling of interest rates through mean-reverting random walks. Higher-dimensional versions of Brownian motion can be used to signify multi-factor random walks, as stock prices in stochastic volatility.
Explain The characteristic of perceiver and perceived
Otobai Motor Company is currently paying a dividend of $1.40 per year. The dividends are expected to grow at a rate of 18% for the next three years and then a constant rate of 5% thereafter forever. What is the vlaue of its current stock price? Assuming that the discount rate is 10%.{Hint: pages 84-
What are the difference between complete market and binomial model?
Compare and contrast the ethical and legal obligations for a: (i) CFP practitioner (ii) member of the FPA (iii) a financial services professional.
Explain Modern Portfolio.
Explain the different types of arbitrage.
What are the modern approaches uses for forecast volatility and model?
Who illustrated short-term interest rate through a stochastic differential equation?
How Value at Risk simply calculated?
Explain the differences between foreign bonds & Eurobonds. Also describe why Eurobonds make up the lions share of the international bond market.The two segments of the international bond market are following: foreign bonds & Eurobo
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