expected value model
91Dividend discount model (DDM) — A model for valuing the common stock of a company, based on the present value of the expected cash flows. The New York Times Financial Glossary …
92discounted dividend model — ( DDM) A formula to estimate the intrinsic value of a firm by figuring the present value of all expected future dividends. Bloomberg Financial Dictionary …
93Modern portfolio theory — Portfolio analysis redirects here. For theorems about the mean variance efficient frontier, see Mutual fund separation theorem. For non mean variance portfolio analysis, see Marginal conditional stochastic dominance. Modern portfolio theory (MPT) …
94probability theory — Math., Statistics. the theory of analyzing and making statements concerning the probability of the occurrence of uncertain events. Cf. probability (def. 4). [1830 40] * * * Branch of mathematics that deals with analysis of random events.… …
95Rational pricing — is the assumption in financial economics that asset prices (and hence asset pricing models) will reflect the arbitrage free price of the asset as any deviation from this price will be arbitraged away . This assumption is useful in pricing fixed… …
96statistics — /steuh tis tiks/, n. 1. (used with a sing. v.) the science that deals with the collection, classification, analysis, and interpretation of numerical facts or data, and that, by use of mathematical theories of probability, imposes order and… …
97motivation — motivational, adj. motivative, adj. /moh teuh vay sheuhn/, n. 1. the act or an instance of motivating. 2. the state or condition of being motivated. 3. something that motivates; inducement; incentive. [1870 75; MOTIVE + ATION] * * * Factors… …
98Expectation-maximization algorithm — An expectation maximization (EM) algorithm is used in statistics for finding maximum likelihood estimates of parameters in probabilistic models, where the model depends on unobserved latent variables. EM alternates between performing an… …
99Maximum likelihood — In statistics, maximum likelihood estimation (MLE) is a method of estimating the parameters of a statistical model. When applied to a data set and given a statistical model, maximum likelihood estimation provides estimates for the model s… …
100Kullback–Leibler divergence — In probability theory and information theory, the Kullback–Leibler divergence[1][2][3] (also information divergence, information gain, relative entropy, or KLIC) is a non symmetric measure of the difference between two probability distributions P …
