Call 1.877.227.4484

CONTACT US NOW
Life Settlement
Deterministic Pricing Model
A life settlement deterministic pricing model is used to determine the present day value of a life insurance policy when a specific payment date is known in the future. For more information, contact Welcome Funds.

REQUEST A FREE KIT

Enter Phone number:

WHAT IS THE DEFINITION OF A DETERMINISTIC PRICING MODEL


A deterministic pricing model or deterministic methodology is a mathematical model in which outcomes are precisely determined through known relationships among states and events, without any room for random variation. In such models, a given input will always produce the same output, such as in a known chemical reaction. In comparison, stochastic or probabilistic models use ranges of values for variables in the form of probability distributions.

BACK TO GLOSSARY

Related Pages: Market Value Pricing ®, Probabilistic Modeling