When was quantitative finance domain of economist
When was quantitative finance the domain of either economists or applied mathematicians?
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In 1979–81 Harrison, Kreps and Pliska came until onto the scene quantitative finance was the domain of either economists or applied mathematicians.
Why is GARCH important?
Explain different approaches to modelling in Quantitative Finance.
Tabulate the advantages of the flexible exchange rate regime. The advantages of the flexible exchange rate system comprise: (I) automatic attainment of balance of payments equilibrium and (ii) maintenance of national policy autonomy.
Explain the Modern portfolio theory.
While you have some random numbers for adding, get normal them then multiply them, is it important in finance?
When ROE can be calculated in a simple way then why an analyst would use the Modified Du Pont system to calculate ROE. Explain.
Suppose spot Swiss franc is $0.7000 and the six-month forward rate is $0.6950. Estimate the minimum price which a six-month American call option along with a striking price of $0.6800 must sell for in a rational market? Suppose the annualized six-month Eurod
If Fiat ADRs were trading at $35 while the underlying shares were trading in Milan at EUR31.90, what could you do to make a trading profit? Employ the information in problem 1, above, to help you and suppose that transaction costs are negligible.
How we get conservative estimate of the whole risk with a coherent measure of risk?
Consider 8.5 % Swiss franc/U.S. dollar dual currency bonds which pay $666.67 at maturity per SF1,000 of par value. Describe implicit SF/$ exchange rate at maturity? Will the investor be better or worse off at maturity if the real SF/$ exchange rate
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