Sumários

Exercises

19 Novembro 2013, 09:30 João Guerra

Exercises.


Black-scholes model: hedging and the continuous dividend case

18 Novembro 2013, 10:00 João Guerra

The replication of a call in the context of a Black-Scholes model.

The Black-Scholes model with dividends.


The Black-Scholes model

12 Novembro 2013, 09:30 João Guerra

The Black-Scholes model: assumptions, the Black-Scholes PDE, the Black-Scholes formula.

The PDE approach and the martingale approach. The 5-step method for the Black-Scholes model.

The replicating/hedging portfolio.


Preliminary concepts on time continuous models

11 Novembro 2013, 10:00 João Guerra

Preliminary concepts on time continuous models.

The Cameron-Martin-Girsanov Theorem and the martingale Representation Theorem. 

The 5-step method for pricing and hedging. 

 

 


The recombining binomial model

5 Novembro 2013, 09:30 João Guerra

The recombining binomial model