Monte Carlo value at risk simulates factor changes from a model (here normal with the EWMA covariance), revalues the portfolio fully on each draw, and reads the quantile.
Quantitative Finance · Begrippenlijst
Quantitative Finance · Begrippenlijst
Monte Carlo value at risk simulates factor changes from a model (here normal with the EWMA covariance), revalues the portfolio fully on each draw, and reads the quantile.