The efficient frontier for financial modelling

There is a trade off between the explanatory powers of a model and its complexity: the more a model explains, the more complex it will be. Would you disagree with that? Before you answer, let me make a claim: Mathematics is about revealing patterns that simplify. The mathematician's work is actually based on producing simplicity, … Continue reading The efficient frontier for financial modelling

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Making neat Excel charts (quickly)

If, like me, you spend a lot of time building spreadsheets with charts, you will want to make sure they are all lined up and neat. This is how I do it. You can get this whole process done in seconds with a bit of practice :-). Select the range of cells that  you want … Continue reading Making neat Excel charts (quickly)

The power of notation in problem solving

It's trivial when you think about it: good mathematical notation is one way of making a problem easier to solve. In my introduction to advanced probability theory I put emphasis on how probability theory has developed a clever and natural way to describe the processes we deal with. If you think about it some more, … Continue reading The power of notation in problem solving