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Stochastic Modeling
(redirected from stochastic model)

   Also found in: Dictionary/thesaurus, Medical, Legal, Encyclopedia, Wikipedia 0.01 sec.
Stochastic Modeling
Any of several methods for measuring the probability of distribution of a random variable. That is, a stochastic model measures the likelihood that a variable will equal any of a universe of amounts. It is used in technical analysis to predict market movements. Insurance companies also use stochastic modeling to estimate their assets and liabilities because, due to the nature of the insurance business, these are not known quantities.

Stochastic modeling. Stochastic modeling is a statistical process that uses probability and random variables to predict a range of probable investment performances.

The mathematical principles behind stochastic modeling are complex, so it's not something you can do on your own.

But based on information you provide about your age, investments, and risk tolerance, financial analysts may use stochastic modeling to help you evaluate the probability that your current investment portfolio will allow you to meet your financial goals.

Appropriately enough, the term stochastic comes from the Greek word meaning "skillful in aiming."



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Their topics include a stochastic model of prospective memory, cognitive processes in communication between pilots and air traffic control, a compensatory framework for the interaction of automatic processes and cognitive resources in reading, a comparative neuropsychological approach to cognitive assessment in clinical populations, and the mechanisms of masked semantic priming.
So I sat there next to Cleverly in the School of Mathematics at Cardiff University and listened to the next 50 minutes of the lecture on Stochastic Models for Insurance.
Watch For: Insurers to use stochastic models that can generate the interconnections among identified risks and their impact.
 
 
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Stochastic Finite Element Method
Stochastic Frontier Analysis
Stochastic Frontier Production Function
Stochastic Functional-Differential Equation
Stochastic gene expression
Stochastic gene expression
Stochastic gene expression
Stochastic Gradient
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Stochastic Green Function
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Stochastic modelling
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