Sammelbandbeitrag

Erschienen in: Handbook on Information Technology in Finance

Herausgeberliste: Seese, D.; Winhardt, C.; Schlottmann, F.

Jahr der Veröffentlichung: 2008

Seiten: 635-653

ISBN: 978-3-540-49486-7

eISBN: 978-3-540-49487-4

DOI Link: https://doi.org/10.1007/978-3-540-49487-4_26

Serientitel: International Handbooks on Information Systems

Abstract: 

Having the optimal solution for a given problem is crucial in the competitive world of finance; finding this optimal solution, however, is often an utter challenge. Even if the problem is well defined and all necessary data are available, it is not always well behaved: rather simple constraints are often enough to prohibit closed form solutions or evade the reliable application of standard numerical solutions. A common way to avoid this difficulty is to restate the problem: restricting and cumbersome constraints are relaxed and simplifying assumptions are introduced until the revised problem is approachable with the available methods, and are afterwards superimposed onto the solution for the simplified problem. Unfortunately, subtleties as well as central properties of the initial problem can be lost in this process, and results assumed to be ideal can actually be far away from the true optimum.

Harvard-Zitierstil: Gilli, M., Maringer, D. and Winker, P. (2008) Applications of Heuristics in Finance, in Seese, D., Winhardt, C. and Schlottmann, F. (eds.) Handbook on Information Technology in Finance. Berlin: Springer, pp. 635-653. https://doi.org/10.1007/978-3-540-49487-4_26

APA-Zitierstil: Gilli, M., Maringer, D., & Winker, P. (2008). Applications of Heuristics in Finance. In Seese, D., Winhardt, C., & Schlottmann, F. (Eds.), Handbook on Information Technology in Finance (pp. 635-653). Springer. https://doi.org/10.1007/978-3-540-49487-4_26