AIM 04 Monte Carlo simulation

Monte Carlo simulation is single most powerful and versatile tool in financial decision-making. This section explains how to apply the Monte Carlo simulation technique and demonstrates it using three different finance problems.

​

• Lecture notes

  • ​​​Slides

    • Support files: 

      • ​MC NPV.xlsx

      • MC Option valuation.xlsx

      • ​MC Expected management fees.xlsx