mkbush (Financial Derivatives Toolbox)

Create bushy tree

Syntax

[Tree, NumStates] = mkbush(NumLevels, NumChild, NumPos, Trim, 
NodeVal)

Arguments

NumLevels
Number of time levels of the tree.

NumChild
1 by number of levels (NUMLEVELS) vector with number of branches (children) of the nodes in each level.

NumPos
1-by-NUMLEVELS vector containing the length of the state vectors in each time level.

Trim
Scalar 0 or 1. If Trim = 1, NumPos decreases by 1 when moving from one time level to the next. Otherwise, if Trim = 0 (Default), NumPos does not decrease.

NodeVal
Initial value at each node of the tree. Default = NaN.

`NumLevels`	Number of time levels of the tree.
`NumChild`	`1` by number of levels (`NUMLEVELS`) vector with number of branches (children) of the nodes in each level.
`NumPos`	`1`-by-`NUMLEVELS` vector containing the length of the state vectors in each time level.
`Trim`	Scalar `0` or `1`. If `Trim = 1`, `NumPos` decreases by `1` when moving from one time level to the next. Otherwise, if `Trim = 0` (Default), `NumPos` does not decrease.
`NodeVal`	Initial value at each node of the tree. Default = `NaN`.

Description

[Tree, NumStates] = mkbush(NumLevels, NumChild, NumPos, Trim, NodeVal) creates a bushy tree Tree with initial values NodeVal at each node. NumStates is a 1-by-NUMLEVELS vector containing the number of state vectors in each level.

Example

Create a tree with four time levels, two branches per node, and a vector of three elements in each node with each element initialized to NaN.

Tree = mkbush(4, 2, 3)

See Also

bushpath, bushshape

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