A simpy wonderful tutorial. I now grasp the fundamental concepts of a Monte Carlo simulation and I learned some new-to-me features of Excel. Thank you!
It is always unbelievable what gold nuggets one can find in RU-vid. Thanks a lot! I thought about to programm something in VBA but I had no clue how build the routines. Very easy approach - GREAT!
Best explanation for this I have found on RU-vid, thank you. I even did a course where this was taught in an engineering risk analysis context- I did the thing but I didn't understand the nuts and bolts, whereas this explains it very clearly.
Great and simple explanation. Agree with some other comments on here that it's one of the most concise explanations I've seen on youtube and on hte internet.
What to say or thank you for valuable information how to imply Monte Carlo method in Excel. Despite development of modern numerial and stohastiv methods with many desirable properties, most of hydraulic problems are based on Monte Carlo method BASED ON FINITE ELEMENT AND FINITE VOLUMEN APPROACH + adding yours Content we can assume many desirable concepts. Thank you for all good Excel workout!
Hi. Very nice tutorial. I have district wise immunization coverage for 60 months (5 yrs). Can I apply Monte Carlo to forecast the coverage for next year?
Very nicely explained. But should it give possible negative value of profits when there is no chance of it, if we adjust the Std. Deviation in that way?
Hi, thank you for this video. I would like to use this in my research and I am using it to simulate vulnerability due to climate change. I wonder what would be more valid; to simulate responses to a questionnaire or to simulate the final score of vulnerability? I hope you can answer my question. Thanks
Hey, really well explained, just wanted to know why you took in risk of loss calculation denominator as 500 please, am I missing something here, sorry if obvious, really appreciate your video :)
Awesome video! I have a follow up question. So when you are recalculating to pull another random set of values, would you collect all the different randomly calculated values, and pull average, std, etc. on those random simulated values? Or would the better option be to either increase or decease the amount of trials?
Hi Maggie, On Risk of Loss, excel does not seem to read cell B12 when I use COUNTIF. It only gives me a % if I hardcode the mean number. Any ideas why that is?
I tried running the simulation on my system,all is working except the risk of loss is changing.the value is just 100% even tho I have tried recalculating ,what do you think it’s the problem ?
The mean isn’t very interesting, it’s the other information that makes the simulation useful, such as modeling the number/percentage of times the investment loses money. This was a very simple example, but you can build very complex simulations. It’s a very powerful tool in that has quite a few applications.
Jason, it was meant to be a tutorial to explain the basics. It was an excellent tutorial, short and informed, it provides what is required to use the process as we wish. I look forward to your tutorial that incorporates probability density functions.