Value-at-Risk (VaR) is an important heavy-tail metric for financial portfolio. Let’s learn about historical/parametric approach of VaR calculations, and 4 different ways to present VaR.
Option pricing is a heated topic in quantitative finance, and let’s explore how we can use the binomial option pricing model in Excel to compute option price!
Excel comes with great tools to compute the IRR on an investment. We are going to show you 3 methods in computing IRR and their limitations.
Black-Scholes option pricing is one of the landmarks for quantitative finance. Let’s learn about the intuition and apply it to price options in Excel!
Using the Excel VBA code presented, we can easily create a multi-period binomial tree to price European options with great flexibility and tweaking parameters.
