Formula used to calculate theoretical value which relies on current stock price, anticipated dividends, option's strike price, anticipated interest rates, anticipated stock volatility and the amount of time to expiration.
Related information about option pricing model:
- Binomial options pricing model - Wikipedia, the free encyclopedia
Rob Thompson; Binomial Option Pricing Model by Fiona Maclachlan, The Wolfram Demonstrations Project · On the Irrelevance of Expected Stock Returns in the ...
- Valuation of options - Wikipedia, the free encyclopedia
Further information: Option: Model implementation. In finance, a price (premium) is paid or received for purchasing or selling options. This price can be split into ...
- Black–Scholes - Wikipedia, the free encyclopedia
Binomial options model, which is a discrete numerical method for calculating option prices. Black model, a variant of the Black–Scholes option pricing model.
- BLACK - SCHOLES -- OPTION PRICING MODELS
[Bradley University]. Foster College of Business Administration. A Study of Option Pricing Models. Finance. Kevin Rubash. Modern option pricing techniques are ...
- Option Pricing Model - Financial Dictionary - The Free Dictionary
Any formula or theory for mathematically determining the correct price for an option contract. An option pricing model may take into account the strike price, the ...
- Binomial Option Pricing Model Definition | Investopedia
An options valuation method developed by Cox, et al, in 1979. The binomial option pricing model uses an iterative procedure, allowing for the specification of ...
- Option Pricing Models (Black-Scholes & Binomial) | Hoadley
Exchange traded options trading strategy evaluation tool & pricing calculators. Black-Scholes and the binomial model are used for option pricing. Pay-off ...
- the option pricing model and the risk factor of stock - Owen Graduate ...
The basic premise of this paper is that combining the option pricing model ... option pricing model are presented in their continuous time framework. We ...