Financial model: Difference between revisions
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imported>Doug Williamson (Link with Sensitivity analysis page.) |
imported>Doug Williamson (Classify page.) |
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== See also == | == See also == | ||
* [[Ceteris paribus]] | * [[Ceteris paribus]] | ||
* [[Coaching]] | |||
* [[Deterministic]] | * [[Deterministic]] | ||
* [[Financial modelling]] | * [[Financial modelling]] | ||
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* [[Simulation]] | * [[Simulation]] | ||
* [[Stochastic]] | * [[Stochastic]] | ||
[[Category:The_business_context]] | |||
[[Category:Corporate_finance]] | |||
[[Category:Investment]] | |||
[[Category:Long_term_funding]] | |||
[[Category:Identify_and_assess_risks]] | |||
[[Category:Manage_risks]] | |||
[[Category:Risk_frameworks]] | |||
[[Category:Risk_reporting]] | |||
[[Category:Financial_products_and_markets]] | |||
[[Category:Technology]] | |||
Revision as of 09:35, 19 September 2019
A simplified representation of a financial situation, using selected assumptions.
Financial models are widely used in practice for valuation, and to support financial decisions and risk management.
Models are also an important tool in finance coaching and financial education.
In simple terms, a model:
- Presents a financial calculation (or calculations)
- In a way that enables the user to understand it and to challenge it, especially about its assumptions.
