by abdelazizalgh | Jun 27, 2020 | Mathematical Finance, Mathematics, Quantitative Finance
The Mathematics of a Coin Toss A coin is a very interesting item. This is because its intriguing aspect truly lies with its use in probability, rather than it’s function as a monetary item. Coins are widely used as a tool to aid in randomly selecting between two...
by abdelazizalgh | Jun 14, 2020 | Mathematical Finance, Quantitative Finance
A forward contract is a binding agreement between two parties to trade an asset with an agreed upon price at a set time. Its opposite is a spot contract which is a trade agreement that occurs almost instantaneously, there and then. No money is exchanged during...
by abdelazizalgh | Jun 3, 2020 | Quantitative Finance
THE BEGINNING Quantitative finance is a relatively new subject which saw its birth at the hands of physicists and other quantitatively trained PHD’s in the early 70’s. Models, concepts, and mathematics have been translated from various disciplines, the major one being...
by abdelazizalgh | May 7, 2020 | Mathematical Finance, Quantitative Finance
WHAT IS ARBITRAGE Arbitrage is when the same asset has, for example, two different prices across markets and hence an investor can profit by immediately buying and selling to profit from the price differential. Suppose a stock A was trading at $100/share at the NYSE...
