विधियों की तुलना करें

	लॉन्गस्टाफ-श्वार्ट्ज़ विधि	जोखिम-उदासीन मूल्यांकन
क्षेत्र	मात्रात्मक वित्त	मात्रात्मक वित्त
परिवार	Machine learning	Regression model
उद्भव वर्ष	2001	1979
प्रवर्तक	Francis A. Longstaff and Eduardo S. Schwartz	John Harrison and David Kreps
प्रकार	Valuation Algorithm	Fundamental Principle
मौलिक स्रोत	Longstaff, F. A., & Schwartz, E. S. (2001). Valuing American options by simulation: A simple least-squares approach. Review of Financial Studies, 14(1), 113-147.	Harrison, J. M., & Kreps, D. M. (1979). Martingales and arbitrage in multiperiod securities markets. Journal of Economic Theory, 20(3), 381-408.
उपनाम	LSM, Least-Squares MC, Optimal Stopping	Risk-Neutral Measure, Q-Measure
संबंधित	4	4
सारांश	The Longstaff-Schwartz method (2001) is a Monte Carlo algorithm for pricing American options and Bermudan swaptions by approximating the optimal exercise boundary via least-squares regression. It has become the industry standard for pricing path-dependent derivatives where analytical solutions do not exist.	Risk-neutral valuation (1979) is the fundamental principle that derivative prices equal the expected payoff discounted at the risk-free rate, computed under a risk-neutral probability measure (Q-measure). This principle, formalized by Harrison and Kreps, eliminates the need to estimate risk premia and is the foundation of modern derivatives pricing.