Why classical option pricing required
Why classical option pricing with constant volatility required?
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This model is required that can correctly price vanilla contracts, and after that price exotic contracts consistently.
I suppose that a valuation consciously realized in my name tells me how much I have to offer for the company, am I right?
Why can we not compute the required return (Ke) by the Gordon-Shapiro model [P0 = Div0 (1+g) / (Ke – g)] in place of using the CAPM? As we identify the current dividend (Div0) and the current share price (P0), we can acquire the growth rate of the dividend by th
Is PER an excellent guide to investments?
Straddle & Strangle: In the case of shorting butterfly spread, it can be seen that the gains are limited. However, there exists another strategy known as straddle which produces unlimited gains. This strategy benefits when the trader expects that
Suppose that the two securities APPL and MSFT account for the entire large cap technology component of the S&P 500 (hypothetically – of course – there are really plenty of others). Further, suppose that their weights in the S&P index were as follow
Could we explain that goodwill is equal to brand value?
I read in a sentence passed through the Supreme Court that, so as to value companies, economic doctrine relies upon intermediary methods among ‘Anglo-Saxon’ theoretical models and the practical models common in the United
Capital Projects: It is a long-term investment made in order to build on, add or enhance on a capital-intensive project. A capital project is any undertaking that requires the usage of notable amounts of capital, together with financial and labor, to
Is a valuation realized through a prestigious investment bank a scientifically approved result that any investor could utilize as a reference?
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