Analysis of Financial Risk Control Based on Stochastic Differential Equation Theory

YAN-MIN LI, XIN-XIN HAO

Abstract


This paper uses stochastic differential equation and risk theory to study the probability model of insurance company's bankruptcy function and the proportion model of financial insurance investment. It also studies the application of stochastic probability to the investment decision-making of institutional investors. Taking the four major insurance industries in China as an example, it gives the strategy of venture capital.

Keywords


Ruin probability, Stochastic differential equation, Institutional Investment, Risk ratio.Text


DOI
10.12783/dtem/ssemr2019/30858

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