6. Limiting Distribution of a Stock (Part I)

[@warriorpanda1794]

We can calculate E(λt) and Var(λt) from the initial conditions(that it's log(1+u) with probability 1/2 and log(1+d) with probability 1/2) and then last results of log(1+u) and log(1+d) can be derived by solving simultaneous Linear Equations of E(λt) and Var(λt).
Great content BTW.

[@chessability.]

Thanks Warrior Panda!