Brownian Motion / Wiener Process Explained

preview_player
Показать описание
Understanding Black-Scholes (Part 2)
This video is part of my series on the Black-Scholes model. I know that the theory is not easy, so please let me know if anything is unclear or I should elaborate further on something.
Рекомендации по теме
Комментарии
Автор

Thank you for these videos! Could you please explain where does 40% come from @ 2:12?

hriday.
Автор

Hi, thank you for this. Just confused about how you got 21.6% at 1:40. Can you explain that, please? Thank you

emmanuelafful
Автор

Hi, thanks for video, just subscribed. I am confused at one point @ 4:05.

Is there a law that states on average you will be at the same point on time "s" as you were when on time "u"? Since I am assuming this is heavily dependent on the volatility and would be averaged with multiple other probability simulations, is it just the safe general assumption that there will be little to no change in the price?

syzygy
Автор

This is brilliant, thanks for the explanation

Clipz
Автор

Beautifully explained ! I'm glad to find out this video.
May I ask which books would you recommend to study this subject ?

frankdesbin
Автор

Even if you know this, are you in a better position to yield positive returns as an investor

josephmargaryan
Автор

It simply means there could be multiple path ( results) like in football match.4*.4*.4(no goal)or .6*.6*.6(3 goal) and so on..

And all representation sums upto 1.(exhaustive)

menii