Mathematics of Finance III

• ACTL90003
• Contact Hours: 3 hours of lectures and workshops per week
  Total Time Commitment: Estimated total time commitment of 120 hours per semester
• 12.50

The binomial model; risk-neutral pricing of derivative securities; introduction to Ito's formula and SDEs; stochastic asset models; Black-Scholes model; arbitrage and hedging; interest-rate models; actuarial applications. -- Course Website

Prerequisites: ACTL90001 Mathematics of Finance I Subject Study Period Commencement: Credit Points: ACTL90001 Mathematics of Finance I Semester 1 12.50