Explain definition of put–call parity described by Reinach
Explain the definition of put–call parity described by Reinach.
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In 1961 Reinach describes ‘conversion,’ that is what we called as put–call parity, he also knows that this does not essentially apply for American options.
Could we suppose that, as we cannot predict the future evolution of the value of shares, a good estimation would be to consider this constant during the next five years?
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