Dismiss Notice
Join Physics Forums Today!
The friendliest, high quality science and math community on the planet! Everyone who loves science is here!

What is the difference between probability & risk neutralprobability?

  1. Jun 25, 2013 #1
    Are both same or different? Can someone give me some example to understand?

    Thanks in advance
  2. jcsd
  3. Jun 25, 2013 #2


    User Avatar
    Education Advisor

    Well, probability is a board overarching term, while risk neutral probability is specific measure that tends to occur when talking about a free arbitrage market.
Share this great discussion with others via Reddit, Google+, Twitter, or Facebook