Mathematical paradigms of finance
type: Item
instance of: scholarly article
title: Mathematical paradigms of finance
zbMATH Open document ID: 0946.91018
author: Hans Bühlmann
published in: Elemente der Mathematik
publication date: 2000-10-25T00:00:00Z
review text: The paper is a revised version of the farewell lecture (Abschiedsvorlesung) Hans Bühlmann gave on July 2, 1997 at the ETH Zürich. The author first describes some early developments of probability theory, especially the solutions of Pierre de Fermat and Blaise Pascal to a problem of fair partitioning (jeu des pistoles). Based on this introduction two mathematical paradigmas are described: Gambler's ruin and hedging. For both problems the author gives simple introductions into their structure which can be read very easily on the one side and which give an idea to the underlying (deep) mathematical theory on the other side. It is a pleasure to read this article and it should be recommended to every student of finance at an early stage of their studies.
reviewed by: Peter Kischka
Mathematics Subject Classification ID: 91B28
Mathematics Subject Classification ID: 91-01
zbMATH DE Number: 1319713
zbMATH Keywords: foundations of applied probability
zbMATH Keywords: gambler's ruin
zbMATH Keywords: hedging
MaRDI profile type: Publication
full work available at URL: s000170050047
OpenAlex ID: W1601284024
DOI: 10.1007/S000170050047
description: scientific article; zbMATH DE number 1319713