Verify that the risk premium for CARA-utility is 2 .

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Verify that the risk premium for CARA-utility is π ≈ ασ².

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A First Course in Quantitative Finance

ISBN: 978-1108419574

1st edition

Authors: Thomas Mazzoni

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Question Posted: Dec 26, 2018 10:08 AM

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Verify that the risk premium for CARA-utility is 2 .

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The PrattArrowcoefficient f...View the full answer

A First Course in Quantitative Finance

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