Variable (Mathematics) | Dependent and Independent variables

Random Variable | Overview, Types & Examples

yourquant_rick on Instagram: "Jensen’s Inequality is one of those ideas that sounds abstract until you realize it explains a huge chunk of modern finance. At its core, it’s about how randomness interacts with curvature. If you take nothing else away from this, remember one sentence: when a payoff is convex, uncertainty increases value. Formally, Jensen’s Inequality says that for a convex function 𝑓 and a random variable 𝑋, the expected value of the function is greater than or equal to the func