Volatility Calculation And Etf Tracking Error And Decomposition

Statistics tell us that it must exist some rule from much data. This paper is on the basement of the rule of statistics. We hope we can find the truth from the historical data. Give several methods about how to estimate the Volatility.In Chapter 1, At first, we introduce the definition of the Volatility and then we introduce how to measure it by mathematics. At last, we give the character of financial data. We have an understanding about the Volatility.In Chapter 2, we talk about the method and theory how to calculate the Volatility. The first part we introduce the method how to calculate the Volatility. The second part we introduce the theory. At last, we introduce the EWMA modeling and use it to calculate Volatility. We make an example to do it.The third Chapter is about how to use the modeling Garch (1, 1) to calculate the Volatility. The first part we introduce the garch modeling briefly. The second part We give the material method how to calculate it. Theory introduction and we give two important modeling. We pay attention to the introduction and give some details about modeling. As for the complicate calculation, we can find it in the paper. In the third part, we talk about maximum likelihood estimation. This is a very important part, but it is about theory. We want to say how the method works. At last we talk about the development about the theory. All in all, the later part we pay attention to the understanding and the essence of the Mathematics.In Chapter 4, we give an introduction to index of error of foresee of ETF.In Chapter 5, we give an introduction to the reason of index of error of foresee of ETF.In Chapter 6, we give an introduction to ETF. It is about its index of error of foresee and decomposition. The first part we give the risk analysis of ETF. The second part we give the aim modeling of ETF on the basement of the first part. At last we give the method how to manage it.There must be something I can not explain it clearly or there exists some error, I hope all the teacher can help me and correct the mistakes.