Computation in Financial Mathematics

Article sponsor: Jeff (see more of his work at http://pfmanagement.com.au)The history of mathematical finance starts with The Theory of Speculation (published 1900) by Louis Bachelier, which discussed the use of Brownian motion to evaluate stock options. However, it hardly caught any attention outside academia.

When someone is exposed to human immunodeficiency virus (HIV), the first few hours or days can be used to determine whether he/she has been infected. However, a few hours or days after infection, the number of viruses and infected cells is very low. This makes it very hard to determine whether one has been infected [...]

With the advent in technology, every discipline of learning has adopted movies as a way of putting forth certain principles on the subject. Mathematics as a discipline is hard to decipher for most people, hence the creation of movies such as ”Chaos” is a welcome idea to make the discipline more fun and interesting to [...]

Two Spanish researchers have come up with a formula that they claim will provide accurate estimates for a person’s speed basing on the stride length. The scientists carried their research using data obtained from professional athletes as well as running experiments on a beach to develop an equation that is used to calculate the speed. [...]

Happiness increases logarithmically when people are far away from home. This is according to the findings of a new mathematical analysis that studied various Twitter messages. It also indicated that the people who are often close to home are not as happy as those who frequently move around, away from home. The study examined 37 [...]

The Georgia Tech Logistic Regression/Markov Chain (LRMC) college basketball ranking system has predicted that Florida will be crowned this year’s men’s basketball champion ahead of Gonzaga who will be relegated to second spot. The computer based system which has correctly chosen three of the past five national men’s basketball champions, also predicts that the teams [...]

When pouring syrup onto waffles or pancakes, not many people stop to think about what goes into its production. There is limited understanding of the physiological processes that actually cause the sap to flow. A paper published recently by authors, Maurizio Cesari and John Stockie, presents a detailed mathematical model on this topic which has [...]

As the competition for producing quality computer software increase, many computer programmers are coming up with creative innovations to sustain the ever growing demand for computer applications. Computer scientists always aim to maximize friendship acceptance on social network by developing perfect computer applications. A dedicated team of computer specialists from china, U.S.A and Taiwan have [...]

Whenever text messages, cellular calls and instant messages are exchanged between individuals these sources of communication leave traces. The traces can actually be analyzed and studied. They can be significantly measured also. A research was conducted recently by Wei-Xing Zhou. Professor works for the University of Science and Technology in East China. H. Eugene Stanley [...]

A group of researchers is trying to revolutionalize the way crime can be detected and prevented using mathematical modeling, a hitherto unknown technique of crime detection. The SIAM Journal last month produced a paper on applied mathematics where the authors determined gang membership and affiliation through the use of police records about the individual’s socio-geographic information. Mathematical [...]

A team of US researchers from the University of Washington and Institute of Technology of the Hewlett Packard Laboratories based in California presented last February 8 a proof-of-concept prototype which opens up a new frontier for future chip-housed optical network development. The presentation was published in the “New Journal of Physics” produced by the IPGPS [...]