AEM 4060 - Risk Simulation and Monte Carlo Methods

Spring. 3 credits. Letter grades only.

Prerequisite: AEM 2240, AEM 2100 or equivalents, working knowledge of Excel, or permission of instructor. Enrollment limited to: undergraduate students. Co-meets with AEM 6061.

C.G. Turvey.

This is a computer-based course that deals with the concepts of randomness and risk in financial management, capital budgeting, stock valuations, derivatives, and investment portfolios. The focus of the course is on applying realistic probability using Monte Carlo simulation to solve a variety of problems in finance.