CEMLA Course: Financial Mathematics (practical)

The on-site sessions of the course focused on the practical application of the concepts previously introduced, through numerical models, applied exercises, and the analysis of real-world cases. The binomial model for option pricing was developed in detail, emphasizing its value both as a pedagogical tool and as a computational method for pricing European and American options, as well as its connection to the Black–Scholes formula.

In addition, the course addressed portfolio optimization topics, including classical mean–variance theory and extensions such as the Black–Litterman model, illustrated with historical data and hands-on exercises. Finally, modern applications of machine learning in quantitative finance were explored, integrating simulation techniques, derivative pricing, and portfolio management. The on-site sessions concluded with an integrated perspective on the tools studied and their joint implementation in real financial problems.