There's Enough Math in Finance Already. What's Missing is Imagination.

[@Nickuncle]

Well...I must say he has a point. I've been doing so many Financial problems and the only imagination comes from establishing an equation for every scenario.

[@HaiLeQuang]

This dazzled me even though the fact that I haven't learnt enough math in finance

[@TunioMir]

Imagine this: A world where there IS perfect knowledge, a world where computers DO have ALL the information and the processing ability deal with it. I believe the only reason math is lacking is because there aren't enough variables considered.

[@franciscoromero1406]

We're getting there brother.

[@zicongma6702]

His book was an interesting read, do give it a try if you are interested in this area.

[@mindauggas]

Is the model self-referential? i.e. does it take into account when predicting the future market condition it's own actions now? Can anyone approve or decline this? And explain in few words why?

[@jonasianbuddy]

I saw the remake with Branden Fraser in it

[@minimalist34]

no this guy is spot on, try to not apply the occupy wall street movement for a second and think purely as acting as individual. (BTW i support the ows movement). He's talk in terms of an investor, trying read the markets, foresee where capital will move, what will be vital, e.g. silicon valley late 80's, FDI in China 90's

[@MoneyR8]

If the models are based on predictive input and the future can’t be predicted, then isn’t everything a sham?

[@schrodingerscat3912]

Derman is awesome. I love the point he is making here

[@Klive5ive]

Ha! What's missing in Finance is common sense. The whole is Europe is screwed because everyone ignored the obvious... don't borrow money you can't pay back.

[@user-or7ji5hv8y]

But there are so many other things where imagination is needed. Is imagination applied to better forecasting prices, even if it improves market efficiency, that worthwhile, beyond monetarily? And how much larger is the marginal impact relative to so many other potential endeavors?

[@supermonkeywtf09]

South Africans and math, its like pen and paper.

[@orientrat]

there are tons of different kinds of financial models. There are simulation models such as monte carlo models. There are also stochastic models such as the black scholes model and other related options and interest rate models. And there are ibanking/dcf models which are basically just companies' financial statements put into a spreadsheet

[@cammyjeee]

I'm not shooting that fookin' prawn!!!

[@TempestTossedWaters]

@dilic Stealing means taking something from an another person so that the person no longer has it. You can't steal data.

[@Kenji314159]

@Jinmane i cant find his name

[@Kenji314159]

I think it's the opposite. There's enough imagination, speculation and expectations in finance. We have to bring rationality and carefulness in finance! Which is basically equal to maths.

[@RandageJr]

He is the cutest old man

[@appinfo9703]

😂👍👍👌😜

[@ArtisanTony]

@ArtisanTony *too

[@TambetTV]

That's really interesting.

[@xDaBeginninGx]

looks like im renting bedazzled tonight

[@aSheeple]

@TunioMir what if there are an infinite number of variables? in reality you would at least have to include the minds of all inhabitants of planet earth, thats 7 billion variables. but that would still accumulate errors unless you went smaller. say all the cells in all human's brains, but there would still be errors, so you have to go smaller. like all molecules in all human bodys...... you can see where that's going. at some point it gets impractical to become more accurate.

[@alllove3717]

Even if you consider all possible variables, what matters is that you can estimate those variables well to yield a useful model.

[@W-HealthPianoExercises]

Prediction Is unnecessary😊

[@Anonymous247n]

@tankusfred People.

[@sftw009]

There's never enough math in anything.

[@jinmane3361]

@Kenji314159 It's in the video. Emanuel Derman.

[@EBUNNY2012]

Bedazzled

[@rogueremis]

This was basically a really fancy way of saying. We can do 2+2=4, but we're really lacking in getting to actually know what people want and are interested for the future. We've lost Human connection.

[@jinmane3361]

@Kenji314159 Look at this guy's Wikipedia page. He's actually remarkably accomplished, and far from ordinary.

[@natashaphillips4371]

As a trade enthusiast who has made lots of money investing with Steve Hendricks, made 31k$ last week putting in 12k$ I will advice y’all get a professional to guide your investments as I can proudly say it’s the best way moving forward from now, y’all reach him for guidance to great earnings

[@natashaphillips4371]

His telegram is

[@natashaphillips4371]

stevehendricks

[@andrewjones5033]

I’ve made lots of money investing with him lately and I’m very grateful, I pray others in search of legit ways to earn money sees this cuz this was how I knew about him from other people as well

[@Starbattle64]

@kenji314159 Importance is relative.

[@Anonymous247n]

NO, what's missing is COMPASSION.

[@leezygottini5672]

👏🏾👏🏾👏🏾

[@tankusfred]

@Anonymous247n What the... compassion? Compassion toward what? O_o

[@nishanth584]

Your work the people who help you

[@Kenji314159]

@DonFuego1 Your statement is invalid. You wanted to say that I feel somehow superior but you accidentally said that the others feel somehow superior. If you want to offend me, use correct grammar please. Either way, it's sad how you love to judge other people you don't know at all as if you were somehow superior.

[@raydredX]

Blasphemy! It should restated as: There's enough sucky math in finance already. What's missing is awesome math!!!

[@ArtisanTony]

His story was way to long and had no imagination.

[@andrewmanford]

wtf

[@Kenji314159]

It's sad how bigthink raises people like him up onto the same platform with richard dawkins and other people like the guy who invented C++. Those are brilliant people, this guy is ordinary.

[@F_L_U_X]

AHHHH! IT'S A TALKING NUT SACK!!!