Financial Information Analysis
The median is a statistical measure that represents the middle value of a dataset when it is arranged in ascending or descending order. It effectively divides the dataset into two equal halves, with 50% of the values lying below and 50% above this central point, making it a useful measure of central tendency that is less affected by outliers compared to the mean. In financial modeling, particularly in Monte Carlo simulations, the median can help assess the typical outcome of various scenarios and make informed decisions based on potential risks and rewards.
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