"The HoLee model was the first term structure model. I remember reading their paper soon after it was published and as it was fairly different from many of the other papers that I had read, I had to read it quite a few times. I realized that it was a really important paper."

First, Reading

12

Create Your Own Wallpaper

Standard

Customized

"The HoLee model was the first term structure model. I remember reading their paper soon after it was published and as it was fairly different from many of the other papers that I had read, I had to read it quite a few times. I realized that it was a really important paper."

Exlpore more First quotes

""Think simple" as my old master used to say - meaning reduce the whole of its parts into the simplest terms, getting back to first principles."

Frank Lloyd Wright, American Architect

First, Meaning, Old, Principles

"A little simplification would be the first step toward rational living, I think."

Eleanor Roosevelt, American First Lady

First, Living

"In Braille you write your flat sign first and then your note."

George Shearing, British Musician

First,

"I think Col. North is first a U.S. citizen and he has the same rights as you yourself do, sir."

Fawn Hall, American Celebrity

First, Rights

"This is certainly not the first case in which a merger approved in one place hasn't gone through in the other. There was a case last year where the merger between two EU companies was approved here and blocked in the U.S."

Mario Monti, Italian Public Servant

First,

"Manage yourself first and others will take your orders."

David Seabury, American Psychologist

First, Will

"I was really conscious of that when I went in because I felt that I was pretty solid on the first one, but I didn't have the groove exactly where I wanted it."

John Otto, American Musician

First, Pretty

"When you get something like MTV, it's like regular television. You get it, and at first it's novel and brand new and then you watch every channel, every show. And then you become a little more selective and more selective, until ultimately... you wind up with a radio."

David Lee Roth, American Musician

First, Television, Wind

"But I learned first-hand how the news media operates by watching how they interpreted, changed, and misrepresented my intentions."

Joey Skaggs, American Celebrity

First, Intentions, Media, News

"Hang 'em first, try 'em later."

Roy Bean, American Judge

First,

Explore more quotes by John Hull

"We concluded that you cannot rely on delta hedging alone. It sounds simplistic to say that now, but back then, this was the sort of thing people were only just beginning to realize."

People

"Our tree is actually a tree of the short-term interest rate. The average direction in which the short-term interest rate moves depends on the level of the rate. When the rate is very high, that direction is downward; when the rate is very low, it is upward."

Direction

"The real challenge was to model all the interest rates simultaneously, so you could value something that depended not only on the three-month interest rate, but on other interest rates as well."

Challenge

"We started giving presentations at practitioner conferences in 1986, and since then all of our derivatives research has been stimulated by contact with practitioners."

Giving

"The HoLee model was the first term structure model. I remember reading their paper soon after it was published and as it was fairly different from many of the other papers that I had read, I had to read it quite a few times. I realized that it was a really important paper."

First

"Yes, our tree has an interesting shape. The center branches reflect the shape of the zero curve. When extreme parts of the tree are reached the branching pattern changes to accommodate the mean reversion."

Extreme

"When interest rates are high you want the average direction in which interest rates are moving to be downward; when interest rates are low you want the average direction to be upward."

Direction

"The problem with interest rates are that you are not modeling a single number, you are modeling a whole term structure, so it is a sort of different type of problem."

Interest

"One important measurement issue concerns the fat tails problem that I mentioned earlier. VAR is concerned with extreme outcomes. If the tails of the probability distributions we are using are too thin, our VAR measures are likely to be too low."

Extreme

"In the interest rate area, traders have for a long time used a version of what is known as Black's model for European bond options; another version of the same model for caps and floors; and yet another version of the same model for European swap options."

Time