Continuous-time bank account
= Continuous-time bank account
{title2=$B_t=\exp(\int_0^t r_sds)$}
The value of an account that continuously reinvests at the <short rate> $r$, with $B_0=1$. Its reciprocal is the <discount factor> $D_t=B_t^{-1}$.
= Continuous-time bank account
{title2=$B_t=\exp(\int_0^t r_sds)$}
The value of an account that continuously reinvests at the <short rate> $r$, with $B_0=1$. Its reciprocal is the <discount factor> $D_t=B_t^{-1}$.