Research On The Pricing Of Gold-linked Wealth Management Products

With the development of economy and the improvement of financial market,people’s demand for personal investment is becoming more and more strong,banks as an important financial institutions in the country,has launched a series of financial products,as an important financial investment,the principle is that customers to the bank to provide a certain amount of principal,in the avoidance of risk at the same time to obtain profits.Unlike the commercial bank’s time deposit,it will bring more benefits but also bear a certain degree of risk,in order to reduce the risk of investment and increase the income,it has produced financial products pricing problem.This paper mainly studies the gold-linked financial products,select the gold price data from the financial network,analyze it,lead the mathematical model of financial market,select several financial products with different financial terms,and use ordinary differential equation and integral Exchange method to calculate the present value of these financial products.Then we analyzed the logarithmic rate of return of the Gold Index,it is found that the logarithmic return sequence has the wave aggregation effect,which is different from the traditional b-s model,which assumes the volatility is constant,so the conditional variance model(Arch model)is used to analyze and forecast the gold price sequence,and through the analysis of the mathematical model of financial market,The paper determines the profit and loss of the linked financial product on the maturity date,then Monto-Carlo it by predicting the volatility rate and applies it to the profit and loss model to simulate the value of the financial products in the maturity date.Finally,we analyze the effective simulation times and the simulation precision of Monte-Carlo simulation,get the effective simulation times of different accuracy under different significant levels,the selection of the effective simulation times improves the accuracy of simulation results,and provides a reasonable verification for the pricing of financial products.The results of this paper will be able to analyze the present value of many kinds of financial products,which has a certain reference meaning to the investment activities of financial products.After all,a reasonable price,not only can attract investors,but also can effectively eliminate arbitrage opportunities,so that the markettends to complete.