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About Stochastic Process

Introduction to Stochastic Processes

A stochastic process is a mathematical model that describes the randomness in a sequence of values. For example, consider an investment portfolio that contains stocks, bonds and cash. The value of the portfolio can change over time due to fluctuations in the market or other factors. A stochastic process can be used to describe how this value changes over time.

The field of stochastic processes is a new one, with a lot of potential for growth. Stochastic processes are used in a variety of industries. They include process control and optimization, medicine, finance, meteorology, and manufacturing.

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