Source: wikibot/heath-jarrow-morton-framework
= Heath–Jarrow–Morton framework
{wiki=Heath–Jarrow–Morton_framework}
The Heath–Jarrow–Morton (HJM) framework is a mathematical model used in finance to describe the evolution of interest rates over time. It is particularly useful for modeling the entire term structure of interest rates, which refers to the relationship between interest rates of different maturities. The HJM framework was developed by David Heath, Robert Jarrow, and Andrew Morton in the early 1990s.