Fairmat Academic |
Fairmat Academic is the free solution for students and academia which helps you to prototype and evaluate financial products and to evaluate projects.
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Available Analysis:
Numerical capabilities:
Type of problems modeled with ease:
In this page you can read notes about Fairmat Academic releases: the current stable release is Fairmat Academic 1.7.0
Please note that discussions about the use of the software can be found in the user forums. User issues regarding Fairmat can be also reported here.
List of Fairmat Academic releases:
Fairmat Academic is supported for the following platforms:
Windows
Windows XP SP2 or later is required, and a minimum of 50 MB of free space (*1) and 512 MB of RAM are required.
Linuxes
Ubuntu 8.10 or later is required, and at least 50 MB of free space (*2) and 512 MB of RAM are required. OpenSuse 11.1 or later is required.
From April 2012 Fairmat Academic is also included in the Ubuntu app center.
Mac OSX
OSX 10.5 or later is required, and at least 150 MB of free space and 1GB of RAM are required.
(*1) Additional space is required if the .Net 4.0 framework is missing. If the .Net framework is missing, it will be installed automatically by the installer package. Alternatively it can be downloaded manually from the Microsoft website here, and must be installed before installing Fairmat.
(*2) More space will be required if missing packages need to be installed. The required packages will be installed automatically.
This section will guide you through the installation of Fairmat Academic. If you have any doubt or experience any problem do not hesitate to write us at info@fairmat.com. Note that you may have already performed some of the steps described in this section.
Go to http://fairmat.com/signup, insert your data and valid email address, this email address will be used for sending you the credentials and sofware licenses.
Login using the credentials we sent you (If you do not find tem, chek in the spam folder) and go to the downlad section http://fairmat.com/download and down the version suitable for your PC. Fairmat is available for Windows, Linux and MacOSX.
For more information about system requirements, read here.
An email with a Fairmat Academic activation code will be sent to you and must be used later in the process.
Double click on the installer package and you will be guided through the installation procedure.
Fairmat Academic needs te X11 package which is an optional component for you Mac OSX. If you are running Mac OSX 10.7, X11 is already installed and you can skip this step. In any case, Fairmat will prompt you a message is something is missing.
You can find X11 in you Mac OSX DVD. Open it and click on the optional installs folder.
Select optional install.pkg
Select Applications/X11 and follow instructions.
Download and install X11 from http://xquartz.macosforge.org
After the installation of pkg file re-boot the system.
After having installed X11, Install Fairmat Academic in the usual way, just drag Fairmat on the Applications folder.
sudo gdebi fairmat-academic-0.9.1-131.deb [press enter]
Note that now fairmat academic is also available on the ubuntu software center
sudo zypper install fairmat-academic-0.9.10-212.i386.rpm [press enter]
The first time you launch Fairmat, a dialog window, will require you to enter the activation code.
Enter the license code we sent you in the text box and press the Online Activation button which will appear when the activation code is correct.
Note that you can also find your license in the my downloads section of Fairmat.com.
In the case you are behind a firewall whose settings are not standard, from the activation form you click the button [Internet Connection Settings] and specify manually the proxy server parameters as shown in the dialog window on the right.
Fairmat will save them on your pc and use when needed. You can modify them at any time in the Fairmat Preferences dialog
window.
Now you are ready to use Fairmat! You can find a lot of learning material such as tutorials and videos
You can also find useful extensions on http://fairmat.com/plugins. They can be installed easily from the website or from the Settings->PLug-in Settings Dialog within the software. You may find for example useful the Binomial Lattice Solver.
Fairmat allows the user to choose the best description of the dynamic evolution of the valuation drivers from a set of different models. Moreover, with Fairmat you can design any financial project using a graphic representation combined with a high level algebraic language.
In order to price structures with conditional/compound payments, decisions that switch among different modes, or simply options that can be exercised ahead of their maturity, an optimal policy must be computed which usually requires case-specific coding. Fairmat's graphic/algebraic language enables users to save hours (and even days) of code writing and testing, so as to focus solely on the specific features of the financial project.
Complex payoffs occurring in exotic contracts or in the valuation of real options can be expressed easily with a flexible built-in algebraic language.
Fairmat calculates the fair value of a financial project using a range of numerical methods – from simple ones like binomial lattices, to more sophisticated approaches like Least-Squares Monte Carlo simulation. In addition to this, optimal execution policies, the distribution of future cash flows, and various risk assessments can be obtained as by-products of the valuation.
Fairmat is available in an academic version that can be downloaded and used on many different OS platforms free of charge. Anyone interested in studying or doing research on financial problems can use it. Moreover, if you would like to contribute to the development of the software, you can create open source implementations of new features as “plug-ins”. Only commercial versions of the software requires the payment of a license fee.
Contracts and projects implemented with Fairmat can be easily assessed, checked and compared with other users and software programs. This is because the whole description of the contract can be saved within a single model-file.
We believe in open source software. No development team, whatever its size, can be as effective as an entire community of users/developers. However, one the limits of the standard open source business model is that frequently the value generated by the common effort made is retained by the original contributors, or – in the worst case – by free-riders who exploit the effort without paying back the community. We believe that, being a community effort, the value of the project must be shared with those who create it. We believe on the need to reward the time a community spends on improving on-line projects. While the software’s core is closed in order make sure that the project's outcomes are shared among creators and contributors, this project is owned by the community. For that reason, if outcomes are generated, they will be shared with the community through a revenue sharing agreement with developers/contributors. We believe that this approach is revolutionary, especially for financial software.
We are setting up a free repository where developers can upload and share open-source applications (“plug-ins”). We invite users to create and publish innovative contributions in any area of financial economics. This would permit other users to test and review the contributions. Every six months (see the road map) the best plug-ins (tested and organized) will be packed into an official open-source collection available free of charge. This process is driven by the community itself. Finally, let us hear your suggestions on how to improve all the aspects of this project, including revenue-sharing agreements and development aspects.
The Fairmat team.