## Standard Error calculation

This forum is to discuss the book "the concepts and practice of mathematical finance" by Mark Joshi.

### Standard Error calculation

I see that in Ex 9.12, you calculate the standard error to be \sqrt{sample variance/N-1 } - however on pg 91 you define the standard error to be the \sqrt{variance/N}. Is this just because we have calculated the (biased) sample variance V(X)=7.38 here rather than the population variance? So presumably we have something like E(\sqrt{sample variance/N-1 }) = \sqrt{population variance/N}?
quee0849

Posts: 6
Joined: Tue Apr 01, 2014 3:01 pm
Location: London, UK

### Re: Standard Error calculation

generally we have a sample estimate so we should proceed accordingly. It's really not worth getting worked up about in this context.
mj