Lecture 4: Linear Algebra (cont.); Probability Theory
MIT 18.642 Topics in Mathematics with Applications in Finance, Fall 2024 Instructor: Peter Kempthorne View the complete course: https://ocw.mit.edu/courses/18-642-to... YouTube Playlist: • MIT 18.642 Topics in Mathematics with Appl... The lecture provides an overview of key linear algebra concepts such as eigenvalues, eigenvectors, matrix diagonalization, and singular value decomposition, emphasizing their applications in modeling dynamic systems and data analysis. It also introduces foundational probability theory concepts, including distributions, moments, covariance, principal component analysis, and their relevance to finance, portfolio management, and stochastic modeling. License: Creative Commons BY-NC-SA More information at https://ocw.mit.edu/terms More courses at https://ocw.mit.edu Support OCW at http://ow.ly/a1If50zVRlQ We encourage constructive comments and discussion on OCW’s YouTube and other social media channels. Personal attacks, hate speech, trolling, and inappropriate comments are not allowed and may be removed. More details at https://ocw.mit.edu/comments.

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