finance model — various meanings, very briefly

I feel a financial model is any math that describes/explains/relates/predicts economic numbers.

A “model” means something different in buy-side than in derivative pricing including complex structured products.

On the buy-side, I feel a model is like a regression formula that Predicts a (single?) dependent variable using several explanatory variables. In simple words, such a model is an alpha model, which is related to a trading strategy.


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