...Paweł Fiedor; Artur Hołda Purpose – This paper aims to present a framework enriching currency risk analyses based on information theory. Design/methodology/approach – Information-theoretic measures of predictability (entropy rate) and co-dependence (mutual information) are used to enhance...

... measure. © Emerald Group Publishing Limited 2005 Risk management Uncertainty management Information theory Mathematical modelling Statistical methods The physicist Nils Bohr was fond of the Danish aphorism that “Prediction is always difficult, especially of the future” (Moore...