MATH 4200 - Introduction to Mathematics of Investment
3 credit hours(Same as ACSI 4200.) Prerequisites: MATH 1910 and one semester of probability/statistics; or consent of instructor. Calculus and probability/statistics used to model and analyze investments in bonds, treasury bills, stocks, and other derivatives. Topics include obtaining the price of a bond as a function of interest rate, developing formulas for duration and convexity to study the sensitivity of price to interest rate, and mathematical modeling of investor preference and attitude toward risk.