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financial engineering
financial engineering definition - finance
The creative application of financial technology
to solve financial problems or create financial opportunities. Financial
engineering involves creating desirable cash flows from new or existing
investments. Financial engineering may tackle a problem such as determining how
to allocate investment capital in order to maximize investment returns.
Techniques that might be used include optimization technologies such as linear
and quadratic programming.
Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
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