02-27-2006, 09:20 PM
<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by eShA</i>
<br />
let me argue this information with my teacher and then i put some more question on the same.
regard,,,,
eShA
Although this may seem a paradox, all exact science is dominated
by the idea of approximation.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
On a separate note, pricing a convertible bond is very difficult because you have to take into account the martingale (random) property of stock prices, correlation between stock and bond markets etc.
Good luck
DT
<br />
let me argue this information with my teacher and then i put some more question on the same.
regard,,,,
eShA
Although this may seem a paradox, all exact science is dominated
by the idea of approximation.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
On a separate note, pricing a convertible bond is very difficult because you have to take into account the martingale (random) property of stock prices, correlation between stock and bond markets etc.
Good luck
DT
