What is Accidental Death Benefit? Accidental death benefit is a type of insurance policy that pays in the event of the accidental death of an insured person. It is different from life insurance, which pays upon the death of the insured person under most circumstances. It is typically part of general insurance, along with other…
What is Random Forest? Random forest is a technique used in modeling predictions and behavior analysis and is built on decision trees. It contains many decision trees representing a distinct instance of the classification of data input into the random forest. The random forest technique considers the instances individually, taking the one with the majority of…
What is Power BI? The tagline for Power BI, “Bring Your Data to Life,” very clearly demonstrates the purpose of the Microsoft-owned business analytics tool. Power BI is an assortment of several data analytics-based services and systems that primarily focuses on visualizing business data and making it more interactive for organizations. Created by Microsoft, Power…
Transitioning from Excel to Python Many companies are now transitioning from Excel to Python, a high-level, general-purpose programming language created by Dutch programmer Guido van Rossum. A growing number of software developers today consider Python a worthy replacement tool for Excel due to the benefits the former can offer. Using Excel and Python Excel is…
What is Uniform Distribution? In statistics, uniform distribution is a term used to describe a form of probability distribution where every possible outcome has an equal likelihood of happening. The probability is constant since each variable has equal chances of being the outcome. Examples of Uniform Distribution Uniform distribution is the simplest statistical distribution. The…
What is a Tree Diagram? A tree diagram is used in mathematics – more specifically, in probability theory – as a tool to help calculate and provide a visual representation of probabilities. The outcome of a certain event can be found at the end of each branch in the tree diagram. Types of Events There…
What are the Articles of Association (AoA)? The Articles of Association (AoA) is the charter document that establishes the legal existence of a company in many jurisdictions worldwide, including the United Kingdom, Europe, and China. This regulatory document defines the purpose of a company and its operation. Regulatory authorities determine the minimum requirement for its…
What is Autocorrelation? Autocorrelation refers to the degree of correlation of the same variables between two successive time intervals. It measures how the lagged version of the value of a variable is related to the original version of it in a time series. Autocorrelation, as a statistical concept, is also known as serial correlation. It…
What are Mergers & Acquisitions (M&A)? Mergers and acquisitions (M&A) refer to transactions between two companies combining in some form. Although mergers and acquisitions (M&A) are used interchangeably, they come with different legal meanings. In a merger, two companies of similar size combine to form a new single entity. On the other hand, an…
What is Negative Convexity? Negative convexity occurs when a bond’s duration increases in conjunction with an increase in yield. The bond price will drop as the yield grows. When interest rates fall, bond prices rise; however, a bond with negative convexity diminishes in value as interest rates decline. In order to fully understand negative convexity,…
