i don't know what Ito's Lemma is.. but i think he has something to do the way or order in which the model is constructed or chained together.. idk.. would love to hear a more frank explanation..
i have always thought that you only know something as well as you can explain it to someone that doesn't have a clue.. IE Me.. most i find that don't really know keep the vocabulary at such a level that makes them look liek they know what they are talkin about but dont... so why doesn't he explain it to me if the guys such a Quant..
Ask our genius here how it's used - he won't answer because he doesn't know. Otherwise he wouldn't make the kind of ridiculous claim he's been making. I'll be happy to offer a layman's explaination tomorrow (it will underwhelm you). But let's give this guy a chance to answer with his silence.