This paper presents a Least Square Monte Carlo approach for accurately calculating credit value adjustment (CVA). In contrast to previous studies, the model relies on the probability distribution of a default time/jump rather than the default time itself, as the default time is usually inaccessible. As such, the model can achieve a high order of…[Read more]
This paper presents a new model for pricing OTC derivatives subject to collateralization. It allows for collateral posting adhering to bankruptcy laws. As such, the model can back out the market price of a collateralized contract. This framework is very useful for valuing outstanding derivatives. Using a unique dataset, we find empirical evidence…[Read more]
Paul Stock: That’s right, Ayesha. The change is usually implemented by the company to improve efficiency, reduce costs, or to shift priorities. However, the change could come from outside the company like the government policy, laws, or taxes.
Also, whenever there is an unexpected change it requires the manager to react. A good manager has…[Read more]
Paul Stock: Thank you for that answer, Ayesha. It’s great that you are studying Business Management. One important topic that is trending in the field of Business Management is called “Change Management”. Have you heard of it?
Change Management is the skill of performing effective management when factors keep changing. It’s a challenge to ma…[Read more]