I embarked on their BSc course about 25 years ago, absolutely brilliant. 20 hours a week on top of a full time (+ overtime) job. Cost me my first marriage, thankfully!
Probably shouldn’t be writing this having taken two painkillers (), but WTF:
The original Black and Scholes option pricing model is solved using the heat equation from physics. This should be unsurprising since the model itself is a deterministic representation of lognormal processes. The assumption that instanteous log-returns should follow a geometric Brownian motion is what gives rise to this commonality. This critical assumption is also highly tenuous as it implies absolute continuity in pricing, which is inconsistent with the data which show prices moving in discrete jumps which are clustered in time.
Yep. I presume that they are instantaneously hedging the risk of the van catching fire against the chance of causing you to burn a hole in the bottom of your bucket.
Christ almighty, have you seen what kids in the top sets get for homework these days? If I helped them they’d be in the special needs stream in short order.