Talk:Stochastic Volatility

= Further Topics = Ronnotel 17:32, 26 June 2006 (UTC)
 * 1) discussion of filtering techniques required to calibrate a model with two sources of randomness (i.e. Kalman filter, particle filter)
 * 2) motivation for SV models - i.e. why do constant volatility models fail to explain vol smile & skew, and how SV models