Entering content frameBackground documentationDelta Positions

This graphic is explained in the accompanying text is the first partial derivative of the NPV function after the i-nth risk factor at the point This graphic is explained in the accompanying text. This graphic is explained in the accompanying text is the current market value of the i-nth risk factor. In the shown procedure, This graphic is explained in the accompanying text is approximated using the right-sided difference quotient ("Delta position"):

This graphic is explained in the accompanying text

 

(Alternatively, the first partial derivative can be expressed as a central difference quotient: This graphic is explained in the accompanying text)

 

 

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