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  • 标题:The American straddle close to expiry
  • 本地全文:下载
  • 作者:Ghada Alobaidi ; Roland Mallier
  • 期刊名称:Boundary Value Problems
  • 印刷版ISSN:1687-2762
  • 电子版ISSN:1687-2770
  • 出版年度:2006
  • 卷号:2006
  • DOI:10.1155/BVP/2006/32835
  • 出版社:Hindawi Publishing Corporation
  • 摘要:

    We address the pricing of American straddle options. We use a technique due to Kim (1990) to derive an expression involving integrals for the price of such an option close to expiry. We then evaluate this expression on the dual optimal exercise boundaries to obtain a set of integral equations for the location of these exercise boundaries, and solve these equations close to expiry.

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