High-dimensional optimal stopping in discrete time

Turun yliopisto
Pro gradu -tutkielma
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In this thesis we treat the problem of discrete time optimal stopping in a high-dimensional setting. Moreover, we present a known simulation framework for a Markovian case. This method provides a lower bound on the value. We also show that the general problem has a dual, which provides an upper bound on the value. The finite sample performance of three simulation algorithms is demonstrated in the context of Bermudan option valuation.

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