Stochastic Differential Equations

★★★★★Graduate+

📖Definition

Differential equations with random noise term

📐Formulas

dX = μ(X,t)dt + σ(X,t)dW
Geometric Brownian: dS = μS dt + σS dW
Solution: S(t) = S(0)exp((μ-σ²/2)t + σW(t))

✏️Examples

예제 1

Stock price model

예제 2

Interest rate model

예제 3

Population dynamics

Applications

Finance

Physics

Biology

🔗Related Documents

Applications

#SDE#확률미분#stochastic#differential