TL;DR
Reflection Principle: Count lattice paths that cross a boundary by reflecting the path at the first crossing point. This concept is essential for quantitative trading interviews and is frequently tested at top firms.
By Valenke Exam Prep Team·Last updated 2026-06-01
Probability
Reflection Principle
Count lattice paths that cross a boundary by reflecting the path at the first crossing point.
The reflection principle is a technique for counting lattice paths that cross (or avoid) a boundary.
Setup: Count paths from to that touch or cross . Reflect the portion of the path before the first crossing about . This creates a bijection with all paths from to .
Result: The number of "bad" paths (those that cross the boundary) equals the total paths from the reflected starting point. The number of "good" paths (those that stay above the boundary) is the difference.
Ballot problem: If candidate A gets votes and B gets votes with , the probability that A is strictly ahead throughout the count is .
When to use: Counting lattice paths that avoid a boundary. Derivation of the Catalan number formula. Any problem where you need to count paths constrained to stay on one side of a line.
This is a fundamental technique. The Catalan number formula, the ballot problem, and many random walk results follow from the reflection principle.
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