A Stochastic Control Framework for Real Options in Strategic Evaluation (Paperback) (ISBN-13: 9781461274018)

The mathematical theory of finance, involves a stochastic framework in which the theory of real options can serve as a tool for practically oriented decision making in the face of uncertainty. This book examines a new framework for classifying real options from a management and a valuation perspective, giving the advantages and disadvantages of the approach. Impulse control theory and the theory of optimal stopping are used to construct arbitrarily complex real option models that can be solved numerically and yield optimal capital market strategies and values. Various examples demonstrate the potential of this framework.

Author: Alexander Vollert
ISBN-10: 146127401X
ISBN-13: 9781461274018
Publisher: Birkhauser
Language: English
Published: 10/21/2011
Pages: 288
Format: Paperback
Weight: 0.90lbs
Size: 9.21h x 6.14w x 0.60d