Limelight–and by this I mean positively glowing publicity– shines only occasionally on quantitative analysis, and rarely on Monte Carlo simulation. But there was, 6 years ago, Michael Lewis’s Moneyball, which established a place for statistical analysis in major league baseball. Now there is Relativity Media, LLC, currently one of the heaviest hitting movie production companies […]
Daily Archives: July 27, 2010
@RISK Quick Tips: Correlation of Input Variables
This financial risk analysis example demonstrates the use of the Corrmat function to correlate multiple @RISK distributions. The distributions are correlated using a matrix of coefficients that specify the relationship between each pair of functions. The coefficients must be between -1 and +1, with a value of +1 indicating a perfect correlation, 0 indicating no […]
