Tier 4 · QuantFree

Bayesian Thinking in Finance

Update The Past

10 modules~83 min totalVerifiable certificate on completion

Syllabus

01Bayes' Theorem and the PosteriorMath
10 min
02Conjugate Priors and Bayesian UpdatingMath
10 min
03Bayesian Inference for the Mean (Shrinkage)Math
11 min
04The Kalman FilterMath
11 min
05Bayes Factors and Model SelectionMath
10 min
06Bayes' Theorem
6 min
07Bayesian Portfolio Management
6 min
08The Kalman Filter
6 min
09Hierarchical Models and Shrinkage
7 min
10Bayes Factors and Model Selection
6 min

From Module 1 — read a sample

P(A|B) = P(B|A) × P(A) / P(B). In words: to find the probability of A given B, start with your prior belief P(A), multiply by how likely B is if A is true, and divide by how likely B is overall. It's how you update beliefs with new evidence.

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