Meaning BLACK-SCHOLES OPTION-PRICING MODEL: A model for pricing call options based on arbitrage arguments. Uses the stock price, the exercise price, the risk-free interest rate, the time to expiration, and the expected standard deviation of the stock return. Developed by Fischer Black and Myron Scholes in 1973
More terms such as Black-Scholes option-pricing model in Dictionary B.
- Definition Bid Wanted:
- Examples Used in the context of general equities. Announcement that a holder of securities wants to sell and will entertain bids black-scholes option-pricing model definition.
- Definition Basket:
- Examples Applies to derivative products. Group of stocks that is formed with the intention of either being bought or sold all at once, usually to perform index arbitrage or a hedging program black-scholes option-pricing model explain.
- Definition Bank Line:
- Examples Line of credit that by a bank grants to a customer black-scholes option-pricing model what is.
- Definition Bond-Equivalent Basis:
- Examples The method used for computing the bond-equivalent yield black-scholes option-pricing model meaning.
- Definition Bidding Through The Market:
- Examples In the context of general equities, aggressive willingness to purchase a security at a premium to the inside market. Contrast with bidding buyer black-scholes option-pricing model abbreviation.
