Title
Flexible tools for strategic investments and decision-making: analysis, valuation and implementation
Code
GA22-17028S
Summary
The proposed project aims on the contingent claims framework in connection with novel numerical tools of real options valuation to measure the embedded flexibility of various investment opportunities and to significantly improve the decision-making process. Within the project, firstly relevant real options valuation problems will be formulated by systems of governing equations or inequalities. Secondly, particular numerical tools based on discontinuous Galerkin method and wavelet methods will be analyzed, ranging from individual one-factor models to advanced multiple factor ones, including stochastic model parameters or
other random variables, all with respect to various categories of real options. Simultaneously with the valuation procedure, the attention will be paid to linking properties of developed numerical schemes to the entire decision-making process from the practical and theoretical point of view. As a result, this implementation procedure will lead to proper and factual interpretation of investment, especially with respect to case studies of practical significance.
Start year
2022
End year
2024
Provider
Grantová agentura ČR
Category
Obecná forma
Type
Spoluřešitelé
Solver
Information system of research, development and innovation (in Czech)