I have not seen such a brilliant exposition of this rather confusing topic before. Of course, explanation on martingales is imprecise but is par for the course. Anyone watching this video should have a clear understanding of how based on market prices and assuming no arbitrage conditions, so called risk neutral probabilities can be inferred in discrete time setting. This will be useful for understanding continuous time setting risk neutral pricing. Thanks Prof Rudolf!!
I have not seen such a brilliant exposition of this rather confusing topic before. Of course, explanation on martingales is imprecise but is par for the course. Anyone watching this video should have a clear understanding of how based on market prices and assuming no arbitrage conditions, so called risk neutral probabilities can be inferred in discrete time setting. This will be useful for understanding continuous time setting risk neutral pricing. Thanks Prof Rudolf!!
Sehr verständliche Erklärung - super fürs Selbststudium!
explain more clearly than my professor
Wilson Deborah Thomas Matthew Davis Mary