Jensen Inequality in Finance: All You Need to Know
The Whispering Void What is Jensen Inequality? Jensen Inequality states that if f(.) is a convex function and x is a random variable, then This explains why non-linear instruments and options have inherent…
What is Jensen Inequality? Jensen Inequality states that if f(.) is a convex function and x is a random variable, then This explains why non-linear instruments and options have inherent…