English

Maximum Variation of Total Risk

Probability 2007-05-23 v1

Abstract

Let Z>0 be a random time. The total risk of discovering Z in the next time interval (t,t+dt) is never more variable than an exponential of mean one, which is achieved when the information up to time t is sigma(Z wedge t).

Cite

@article{arxiv.math/0404084,
  title  = {Maximum Variation of Total Risk},
  author = {Robin Pemantle},
  journal= {arXiv preprint arXiv:math/0404084},
  year   = {2007}
}

Comments

8 pages