Monte Carlo

Highlight Preface Monte Carlo simulation has been widely adopted in the field of financial research. In 【Quant(19)】Prediction of Portfolio Performance, we have introduced how to use Monte Carlo simulation for stock price prediction. In today`s article, we will extend the application to more complex options pricing. In 【Quant】CRR Model and 【Quant】Black Scholes model and Greeks, […]

Monte Carlo Simulation Highlights Preface The purpose of Monte Carlo simulation is to estimate the likely outcome of an uncertain event, and it works by modeling the variables of the uncertain event by assuming a probability distribution. Also, each forecast period is constantly recomputing the results with a random set of numbers, resulting in a large […]