Anonymous
10/14/2025, 8:47:39 PM
No.16816367
>>16816049
>abstract math
abstract math is rooted in reality tho.
I'm saying this as an undergrad econ student.
I had the same mindset of applied stuff until I found an easier way to find the functional form of bellman equation just using simple inequalities lmao.
>theoretical physics
theoretical physics is the backbone of any stochastic calculus you apply to financial market.
fokker planck helps propagation of uncertainty under brownian motion. same goes with idk chapman kolmogorov equations in discrete time setting. None of this dudes were finance guys.
calculus of variations is the most applied shit in control theory which stems from 16. century physics as well.
Whatever. Just add transaction costs as an absolute value to your merton portfolio optimization problem and see how non-differentiability fucks your ass just by a small non-smooth function.
>abstract math
abstract math is rooted in reality tho.
I'm saying this as an undergrad econ student.
I had the same mindset of applied stuff until I found an easier way to find the functional form of bellman equation just using simple inequalities lmao.
>theoretical physics
theoretical physics is the backbone of any stochastic calculus you apply to financial market.
fokker planck helps propagation of uncertainty under brownian motion. same goes with idk chapman kolmogorov equations in discrete time setting. None of this dudes were finance guys.
calculus of variations is the most applied shit in control theory which stems from 16. century physics as well.
Whatever. Just add transaction costs as an absolute value to your merton portfolio optimization problem and see how non-differentiability fucks your ass just by a small non-smooth function.