TAILIEUCHUNG - Finance A Quantitative Introduction by Nico Van Der Wijst2

(BQ) Part 2 book "Finance - A quantitative introduction" has contents: Option pricing in discrete time, option pricing in continuous time, real options analysis, selected option applications, hedging, agency problems and governance. | 7 Option pricing in discrete time Options are financial contracts that give their holders the right, but not the obligation, to buy or sell something on a future date at a price determined today. The distinction between right and obligation, which gives the holder a choice, is an essential characteristic. Options are derivative securities, they derive their values from the assets to be bought or sold in the future. The use of option-like contracts is very old. The oldest examples go back to Greek antiquity and in the 1600s options on rice were traded in Japan and options on tulips in the Netherlands. However, the world’s first options exchange did not open until 1973 in Chicago (Chicago Board of Options Exchange). In the same year Black and Scholes published their famous option-pricing formula. The trade in standardized options in Europe started in 1978 on the European Options Exchange in Amsterdam and has grown tremendously since then. In this chapter we will model option prices in discrete time. After discussing the basic characteristics of options, we will lay the foundations of option pricing in state-preference theory. We then look at binomial option pricing with the wonderful Cox–Ross–Rubinstein model. Options as securities . This introductory section describes the most important characteristics of options and introduces some terminology, option positions and bounds on option prices. Characteristics of options The majority of options traded today are standard options that are created by exchanges. Standard options are easily traded because they refer to a fixed quantity of the underlying asset (. options on 100 shares, bonds, ounces of gold) and to a limited number of maturity dates and exercise prices. This concentrates trade in the available standard options and, thus, enhances the liquidity of the market. In addition to standardization, option exchanges make trading easy by .

• Ngân hàng - Tín dụng
• Option pricing
• Discrete time
• Continuous time
• Real options analysis
• Selected option applications
• Agency problems
• An introduction to derivatives
• Risk management
• Structure of derivatives markets
• Option pricing models
• The binomial model
• Basic option strategies
• Advanced option strategies
• Capital investment
• Financial evaluation
• Straight bond pricing
• Forward pricing
• Basic option pricing
• Option pricing applications
• Essentials of Investments
• Option Valuation
• Factors influencing option values
• BlacScholes option valuation
• Using the BlacScholes formula
• Binomial Option Pricing
• Financial modeling
• Lecture Financial modeling
• Asset expected return
• Option pricing model
• Implied vols
• Volatility estimation
• Investment environment
• Lecture Investments
• Active portfolio management
• Capital markets
• Financial options and their valuation
• Financial options
• Black Scholes Option Pricing Model
• Price of Strike
• Exercise Value of Option
• Call Premium Diagram
• The derivatives world
• Lecture Derivatives
• Option premium
• Striking price
• Stock price
• Option greeks
• Delta neutrality
• Dynamic hedging
• Principal option pricing derivatives
• Monte Carlo
• Gamma Processes
• Brownian Motion
• General Equilibrium
• Asset Economy
• Pricing Synthetic
• price distribution
• Whaley approximation
• NUMERICAL METHODS
• Medical and Scientific
• Scientific Applications
• Bioengineered Skin
• Quantitative Coronary
• Summarized Coronary
• Artery Caliber
• Patent Values
• Financial Assets
• Call Option Values
• Financial Market
• Pricing Theory
• Live Market Data
• Financial institutions
• Financial Instruments
• Financial markets
• Financial system
• Pricing an option
• Options markets
• Java methods
• Financial engineering applications
• Financial engineering
• Interest rate calculations
• Analytical option pricing methods
• Sensitivity measures
• Interest rate derivatives
• Finance a quantitative introduction
• A quantitative introduction
• Option pricing in continuous time
• Free lunches
• Call price
• Put price
• Interest rate
• Futures markets
• Implementing binomial models
• The mathematics
• Black scholes
• Deposit insurance system
• Financial distress
• Explicit deposit insurance system
• China require