PARAMETRIC AND NON-PARAMETRIC PRICING MODELS OF OPTIONS IN EUROPEAN MARKETS
Keywords:
option, parametric and non-parametric options, European-style options, alternative pricing, Black-Scholes model.Abstract
This article explores European-style options, specifically the European call option, European put option, look-back call option, and look-back put option. The article also examines the payment models for these options. The main findings of the paper have theoretical significance and can be widely applied in financial mathematics. Furthermore, the constructed models can be used for option pricing calculations.
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