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Trading Terms

Markov Chain

The concept of Markov chains involves a series of calculations in which the likelihood of an upcoming state is influenced by the current state. This mathematical approach is essential for analyzing complex systems and predicting future outcomes. By understanding the intricacies of Markov chains, we can gain valuable insights into the behavior of various financial phenomena. It is a powerful tool for making informed decisions in the ever-evolving world of finance.
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Investments that provide regular, fixed payments, such as bonds and treasury bills.
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