Definitions for "sensitivity analysis"
Investigation into how projected performance varies along with changes in the...
method of testing the degree of sensitivity of a system, whether physical or notional, to incremental change s to its variables. This analysis enables the determination of those variables that are the most significant, and possibly the selection of the best or optimal settings or solution to a problem. [D03268] RMW technique used to discover how sensitive the results from economic and financial model s are to change s in the input values of the variables used to calculate the results. A high degree of sensitivity is a warning to interpret the results of the model with care and circumspection, especially because many of the input variables will themselves have been estimate d and therefore be subject to error. Use of econometric models must not obscure awareness of their limitations and possible pitfalls, especially when they are being used for forecasting. [D05120] RAMP
A method of valuation of the rate of return on an investment with changes in a single factor.
structured portfolio strategy systematic investment plan