37267 - Probability

Academic Year 2011/2012

  • Moduli: Maurizio Brizzi (Modulo 1) Maurizio Brizzi (Modulo 2)
  • Teaching Mode: Traditional lectures (Modulo 1) Traditional lectures (Modulo 2)
  • Campus: Bologna
  • Corso: Second cycle degree programme (LM) in Quantitative Finance (cod. 8409)

Learning outcomes

At the end of the course the student has good knowledge of probability theorry of discrete and continuous random variables. Particular attention is paid to the theory of stochastic processes, both diffusive and with jumps. The student masters the main techniques of stochastic processes applied to finance, such as Ito's lemma, Girsanov theorem and change of measure methods for Lévy processes.

Course contents

Probability space. Discrete and continuous random variables. Bivariate random variables. Univariate and multivariate Gaussian models. Discrete stochastic processes. Markov chains. Continuous stochastic processes.

Readings/Bibliography

A list of reference books will be provided to students.

Teaching methods

Classroom and laboratory lessons.

Teaching tools

Working papers will be available to students.

Office hours

See the website of Maurizio Brizzi