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Exercise Suppose you have a portfolio of m independent and homogeneous risks where the total
number of claims from the portfolio has a Poisson distribution with mean parameter . Suppose
the number of homogeneous risks in the portfolio was changed to m . (i) Prove that the total
number of claims in the new portfolio still has a Poisson distribution. (ii) Identify its mean
parameter.

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Exercise Suppose you have a portfolio of m independent and homogeneous.pdf

  • 1. Exercise Suppose you have a portfolio of m independent and homogeneous risks where the total number of claims from the portfolio has a Poisson distribution with mean parameter . Suppose the number of homogeneous risks in the portfolio was changed to m . (i) Prove that the total number of claims in the new portfolio still has a Poisson distribution. (ii) Identify its mean parameter.