finance, the binomial options pricing model (BOPM) provides a generalizable numerical method for the valuation of options. Essentially, the model uses a "discrete-time"...

binomial options pricing model or simply abbreviated as the quantum binomial model. Metaphorically speaking, Chen's quantum binomial options pricing model...

analytic models: the most basic of these are the Black–Scholes formula and the Black model. Lattice models (Trees): Binomial options pricing model; Trinomial...

where option value is the probability-weighted present value of the up- and down-nodes in the later time-step. See Binomial options pricing model § Method...

understanding of the options pricing model, and coined the term "Black–Scholes options pricing model". The formula led to a boom in options trading and provided...

of the binomial options pricing model. It models the dynamics of the option's theoretical value for discrete time intervals over the option's life. The...

computational model used in financial mathematics to price options. It was developed by Phelim Boyle in 1986. It is an extension of the binomial options pricing model...

development of the arbitrage pricing theory (mid-1970s) as well as for his role in developing the binomial options pricing model (1979; also known as the...

the school, including the Black–Scholes model, the random walk hypothesis, the binomial options pricing model, and the field of system dynamics. The faculty...

Binomial options pricing model for equity underlyings. ("Two-State Option Pricing". Journal of Finance 24: 1093-1110.) Hull, John C. (2003). Options,...

syntactic device Binomial nomenclature, a Latin two-term name for a species, such as Sequoia sempervirens Binomial options pricing model, a numerical method...

Vasicek model 1979 – John Carrington Cox; Stephen Ross; Mark Rubinstein, Option pricing: A simplified approach, Binomial options pricing model and Lattice...

numerical extrapolation afterwards. Binomial options pricing model Trinomial tree Valuation of options Option: Model implementation Korn, Ralf; Kreer, Markus;...

particularly options, and was known for his contributions to both theory and practice, especially portfolio insurance and the binomial options pricing model (also...

Machine learning, more generally (see below). In pricing derivatives, the binomial options pricing model provides a discretized version of Black–Scholes...

relationships for options) Intrinsic value, Time value Moneyness Pricing models Black–Scholes model Black model Binomial options model Implied binomial tree Edgeworth...

Black–Derman–Toy model (BDT) is a popular short-rate model used in the pricing of bond options, swaptions and other interest rate derivatives; see Lattice model (finance)...

solutions) do not exist, while other numerical methods such as the Binomial options pricing model and finite difference methods face several difficulties and...

an employee that carries some characteristics of financial options. Employee stock options are commonly viewed as an internal agreement providing the...

at each node in a binomial options pricing model. The tree successfully produced option valuations consistent with all market prices across strikes and...

Reserve requirement or cash reserve ratio Binomial options pricing model or Cox Ross Rubinstein option pricing model Clinchfield Railroad Cat Righting Reflex...

equivalent volatility under the CEV model with the same β {\displaystyle \beta } is used for pricing options. A SABR model extension for negative interest...

approximate the price are available (for example Roll-Geske-Whaley, Barone-Adesi and Whaley, Bjerksund and Stensland, binomial options model by Cox-Ross-Rubinstein...

via a (binomial) short rate tree or simulation; see Lattice model (finance) § Interest rate derivatives and Monte Carlo methods for option pricing, although...

Rational pricing is the assumption in financial economics that asset prices – and hence asset pricing models – will reflect the arbitrage-free price of the...

statistics, econometrics, and signal processing, an autoregressive (AR) model is a representation of a type of random process; as such, it can be used...

asset pricing refers to a formal treatment and development of two interrelated pricing principles, outlined below, together with the resultant models. There...

first applied to option pricing by Eduardo Schwartz in 1977.: 180  In general, finite difference methods are used to price options by approximating the...

led to higher prices for out-of-the-money options. This anomaly implies deficiencies in the standard Black–Scholes option pricing model which assumes...

Ho-Lee model is a short-rate model widely used in the pricing of bond options, swaptions and other interest rate derivatives, and in modeling future interest...