MT 10 - Option Pricing Theory Flashcards
1
Q
Pricing: set up a replicating portfolio
No-arbitrage call price
A

2
Q
Features of derivative price
A

3
Q
Replication versus risk-neutral pricing
A

4
Q
A
Pricing: set up a replicating portfolio
No-arbitrage call price
Features of derivative price
Replication versus risk-neutral pricing