Lognormal distribution

Lognormal distribution
A variable has a lognormal distribution if the natural logarithm of the variable is normally distributed. The assumption about the process followed by assets is that they follow a geometric Brownian motion with drift.

lognormal distribution A random variable is lognormal if its logarithm is normal.
normal distribution A continuous probability distribution whose probability density function has a "bell" shape.

Lognormal distribution
A distribution where the logarithm of the variable follows a normal distribution.
Lognormal distributions are used to describe returns calculated over periods of a year or more.
Marketplace price efficiency ...

Lognormal Distribution
The standard statistical model for the expected distribution of asset price movements. More technically, it assumes that the natural logarithms of relative price movements are normally distributed.

Lognormal distribution A distribution where the logarithm of the variable follows a . Lognormal are used to describe returns calculated over periods of a year or more.

Atchison & Brown at Cambridge University who developed the three parameter lognormal distribution which was a more robust model of the pattern of returns than the bell shaped distribution of MPT.

Similar financial terms
Lognormal distribution
A varaible has a lognormal distribution when the logarithm of the variable has a normal distribution.

A distribution where the logarithm of the variable follows a normal distribution. Lognormal distributions are used to describe returns calculated over periods of a year or more.
Personal Finance Headlines
SEARCH: ...

Lognormal
A probability distribution in which the logarithm of the random variable follows a normal pattern. Lognormal distributions are used to describe returns calculated over periods of a year or more.

interval estimate (statistics)
lognormal distribution (statistics)
branching diagram (mathematics)
distributed constant (electromagnetism)
nuisance parameter (statistics)
selection parameter (in marketing) ...

Pattern of frequency of occurrence in which the logarithm of the variable follows a normal distribution. Lognormal distributions are used to describe returns calculated over periods of a year or more.
Lombard rate ...

dependent variable, LIML, Lindeberg-Levy Central Limit Theorem, linear model, linear probability models, linear regression, link function, locally identified, log-concave, log-convex, logistic distribution, logit model, lognormal distribution, ...

lognormal distribution A probability distribution in which the log of the random variable is normally...

See also: Normal distribution, Values, Observation, Expense, Banks