Posted inSaving and Investing
Arithmetic-Geometric Mean Inequality in Excel
The Arithmetic-Geometric Mean Inequality, or AM-GM for short, is a mathematical rule that compares two…
Posted inSaving and Investing
Understanding Recurrence Relations in Excel
A recurrence relation is a way of defining a sequence of numbers by using previous…
Posted inSaving and Investing
The Black-Scholes Option Pricing Model: Numerical Approximations in Excel
The Black-Scholes option pricing model is a mathematical formula that calculates the fair value of…
Posted inSaving and Investing
The Black-Scholes Option Pricing Model with Linear Interpolation in Excel
The Black-Scholes Option Pricing Model is a mathematical method to calculate the theoretical value of…
Posted inSaving and Investing
Black-Scholes Option Pricing Model in Excel
The Black-Scholes Option Pricing Model is a mathematical model that calculates the fair value of…
Posted inSaving and Investing
Option Pricing in Excel Formulas
Pricing of options is the process of determining how much an option contract is worth.…
Posted inSaving and Investing
Modeling Stock Market Prices in Excel
Modeling stock market prices is the process of using mathematical and statistical methods to describe…
Posted inSaving and Investing
Hedge Ratio Theorem in Excel
The Hedge Ratio Theorem is a concept in risk management that helps investors to hedge…
Posted inSaving and Investing
Hedging with Options in Excel
Hedging with options is a risk management strategy that involves using options contracts to reduce…
Posted inSaving and Investing
Put-Call Parity Theorem in Excel
The Put-Call Parity Theorem is a principle that defines the relationship between the price of…