Developing a robust model for pricing inter-related volatility-based financial derivative contracts. Volatility-based financial contracts were developed in the late 1990s to provide an easy way for investors to gain exposure to the future level of volatility and thus provide a means by which they could speculate on its future levels and also hedge unpredictable volatility risk. This would potentially save them from losing vast quantities of money. However these products can only be efficient pr ....Developing a robust model for pricing inter-related volatility-based financial derivative contracts. Volatility-based financial contracts were developed in the late 1990s to provide an easy way for investors to gain exposure to the future level of volatility and thus provide a means by which they could speculate on its future levels and also hedge unpredictable volatility risk. This would potentially save them from losing vast quantities of money. However these products can only be efficient products for trading and risk management if they are priced correctly. This project will benefit investors by providing empirically viable models that will be able to be easily implemented to provide accurate and fast pricing solutions.Read moreRead less
Models for Australian Electricity Derivatives. Electricity derivatives, such as electricity futures and options are used to manage the risk associated with volatility in prices of electricity. This project aims to develop models for pricing electricity derivatives specifically suited for Australia. Because of the non-storable nature of electricity the standard option pricing principle of "no-arbitrage" does not apply to electricity options, such as caps and floors, but applies to options on elec ....Models for Australian Electricity Derivatives. Electricity derivatives, such as electricity futures and options are used to manage the risk associated with volatility in prices of electricity. This project aims to develop models for pricing electricity derivatives specifically suited for Australia. Because of the non-storable nature of electricity the standard option pricing principle of "no-arbitrage" does not apply to electricity options, such as caps and floors, but applies to options on electricity futures. Therefore a specific model is needed that takes into account the pricing principle of "no-arbitrage" and combines it with other factors that drive electricity prices. The novel element in this proposal is incorporation of the weather forecasts into the models for electricity options. As a result of this study appropriate models for electricity derivatives for various geographical regions in Australia will be developed.Read moreRead less
Reducing skeletal malformations in cultured marine fish using gene expression, improved nutrition and advanced system operation. Reducing malformations in farmed fish will benefit the Australian economy and society by providing greater quantities of cheaper, higher quality fish. Increased farmed fish production, currently worth ~$300 million p.a., will increase exports and decrease imports (currently ~50% of all Australian consumed fish). To benefit are the important regional farming operations ....Reducing skeletal malformations in cultured marine fish using gene expression, improved nutrition and advanced system operation. Reducing malformations in farmed fish will benefit the Australian economy and society by providing greater quantities of cheaper, higher quality fish. Increased farmed fish production, currently worth ~$300 million p.a., will increase exports and decrease imports (currently ~50% of all Australian consumed fish). To benefit are the important regional farming operations in QLD, NSW, SA, NT, TAS and WA. In particular, the largest industry in Tasmania will profit by having a viable new species to farm (striped trumpeter) reducing risk due to climate change and global oversupply of salmon. Another important benefactor will be the rapidly expanding yellowtail kingfish industry. Read moreRead less
The link between environmental stress and disease onset in prawn aquaculture. The federal government has set a target for prawn aquaculture production to increase fourfold by 2010. A major barrier is disease: losses of 20% of production to viral diseases are not uncommon. To be internationally competitive, Australia needs to develop high health production systems. Most prawn stock carry chronic viral infections, but only exhibit disease symptoms following environmental stress. This project will ....The link between environmental stress and disease onset in prawn aquaculture. The federal government has set a target for prawn aquaculture production to increase fourfold by 2010. A major barrier is disease: losses of 20% of production to viral diseases are not uncommon. To be internationally competitive, Australia needs to develop high health production systems. Most prawn stock carry chronic viral infections, but only exhibit disease symptoms following environmental stress. This project will identify environmental stressors that activate viral disease in Penaeus monodon. Outcomes will be incorporated into on-farm managerial regimes to minimize risk of crop loss to disease. Development of biomarkers as indicators of stress related risks may be commercialized.Read moreRead less
Toward novel approaches for the control of parasitic nematodes via genomics/phenomics. The control of economically important parasitic worms of livestock relies heavily on the use of chemical compounds (anthelmintics). Their excessive and uncontrolled use has led to serious anthelmintic resistance problems in parasites, so that many treatments are no longer effective, and also to residue problems in meat, milk and the environment. We will use 'cutting edge' technologies to provide unique insight ....Toward novel approaches for the control of parasitic nematodes via genomics/phenomics. The control of economically important parasitic worms of livestock relies heavily on the use of chemical compounds (anthelmintics). Their excessive and uncontrolled use has led to serious anthelmintic resistance problems in parasites, so that many treatments are no longer effective, and also to residue problems in meat, milk and the environment. We will use 'cutting edge' technologies to provide unique insights into the molecular processes of parasite growth and reproduction, to develop safe and sustainable intervention strategies for parasites. The project will provide a unique technology platform and a skills base in parasite genomics and will generate significant intellectual property.Read moreRead less
Use of Gradipore technology to develop novel methods for the preparation and segregation of mammalian spermatozoa. The purpose of this project is to harness the expertise available within an Australian biotechnology company, Gradipore, to develop novel methods for the preparation of mammalian spermatozoa and the segregation of these cells into X-and Y- bearing populations. This technology will find application in: (1)clinical andrology, where rapid, safe protocols for the preparation and segrega ....Use of Gradipore technology to develop novel methods for the preparation and segregation of mammalian spermatozoa. The purpose of this project is to harness the expertise available within an Australian biotechnology company, Gradipore, to develop novel methods for the preparation of mammalian spermatozoa and the segregation of these cells into X-and Y- bearing populations. This technology will find application in: (1)clinical andrology, where rapid, safe protocols for the preparation and segregation of human spermatozoa are being actively sought in the context of assisted conception and the management of sex-linked genetic diseases and (2) agriculture, particularly the cattle industry, where a capacity to predetermine the sex of the offspring would be extremely valuable.Read moreRead less
Investment Approaches and Applications in Financial Markets: Evolutionary Kernel Based Subset Time-Series Using Semi-Parametric Approaches. The project will develop new investment assessments based on subset time-series modeling. Innovative evolutionary kernel smoothing algorithms using semi-parametric approaches will be introduced. The project will make three important applications of this modeling in financial markets: a) benchmarking and evaluation of inflation-indexed bonds; b) evaluation of ....Investment Approaches and Applications in Financial Markets: Evolutionary Kernel Based Subset Time-Series Using Semi-Parametric Approaches. The project will develop new investment assessments based on subset time-series modeling. Innovative evolutionary kernel smoothing algorithms using semi-parametric approaches will be introduced. The project will make three important applications of this modeling in financial markets: a) benchmarking and evaluation of inflation-indexed bonds; b) evaluation of the performance of global diversified investment funds; and c) prediction to provide early warning of the emergence of destabilising deflation or inflation. These three applications will lead to improved risk management practices and investment performance. Recursive algorithms will provide new statistical methods to study investment asset price movements and market volatility.
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Helping Central Banks Measure Unobserved Variables Using Real-time Forecasts. The project addresses structural measurement problems confronted routinely by central bankers. The techniques developed, and the estimates provided, will aid directly the Partner Organisations (the Reserve Bank of Australia, the Reserve Bank of New Zealand and Norges Bank) and other central banks in formulating monetary policy. The analysis will allow interest rates in Australia and elsewhere to be set with greater pre ....Helping Central Banks Measure Unobserved Variables Using Real-time Forecasts. The project addresses structural measurement problems confronted routinely by central bankers. The techniques developed, and the estimates provided, will aid directly the Partner Organisations (the Reserve Bank of Australia, the Reserve Bank of New Zealand and Norges Bank) and other central banks in formulating monetary policy. The analysis will allow interest rates in Australia and elsewhere to be set with greater precision. The techniques developed in this project will facilitate the understanding and communication of monetary policy within the central banks concerned, and enhance communication of monetary policy strategy to the public.Read moreRead less
Investment approaches and opportunities in renewable energy and financial resource markets, using semi-parametric approaches to evolutionary subset time-series lattice-ladder modelling. The project findings will help Australian exporters and importers understand and manage energy and resource price risks more effectively. The investment community will benefit through selecting optimal asset allocations and enhancing value to investors. It will also benefit many other agencies, particularly in th ....Investment approaches and opportunities in renewable energy and financial resource markets, using semi-parametric approaches to evolutionary subset time-series lattice-ladder modelling. The project findings will help Australian exporters and importers understand and manage energy and resource price risks more effectively. The investment community will benefit through selecting optimal asset allocations and enhancing value to investors. It will also benefit many other agencies, particularly in the service industries. It is not well recognised that in developed countries, including Australia, the financial service and related sectors account for more than 60 percent of economic activity and employment, so it is critical that more sophisticated statistical methods be established, and practical applications conducted, in order to advance the understanding of complexity management in the financial service and related sectors.Read moreRead less
The improvement of investment approaches by developing and applying bootstrap methods to innovative evolutionary kernel-based subset time-series modelling. With over $1 trillion of investors' monies in the hands of fund managers, the importance of efficient investment decisions across all industry sectors is self evident. Even if the modest target of systematically improving decision making by 1 or 2 % is set, the aggregate economic benefit achieved, given the compounding effects will be enormou ....The improvement of investment approaches by developing and applying bootstrap methods to innovative evolutionary kernel-based subset time-series modelling. With over $1 trillion of investors' monies in the hands of fund managers, the importance of efficient investment decisions across all industry sectors is self evident. Even if the modest target of systematically improving decision making by 1 or 2 % is set, the aggregate economic benefit achieved, given the compounding effects will be enormous. Any developed or developing country will profit from such advanced decision-making approaches. Therefore it is critical that more sophisticated statistical methods be established, and practical applications conducted, in order to advance the understanding of complexity management in the financial investment and other relevant sectors.Read moreRead less