Sentence examples for of underlying asset from inspiring English sources

σ represents the volatility of underlying asset, and α denotes the fractional order.

Historical volatility is calculated by using the standard deviation of underlying asset price changes from close to close trading going back 21 to 23 days.

In contrast to the usual DFP, our newly developed DFP has two protection levels and protection is activated only when the value of underlying asset reaches upper protection levels.

But unlike the horribly botched financing of the boom-era American housing market, where all of these financial techniques were used, no one is suggesting this set of underlying assets is safe.* "Commercialising biomedical research through securitisation techniques".

Additional Food for Thought: The commoditization and patenting of our food supply, introduced by agrichemical corporations like Monsanto in the 1990s (and recommended by Jim Cramer of TheStreet.com) enable corporate ownership of underlying assets (in this case, corn and soy) that can then be bundled and traded as derivatives known as "collateralized commodity obligations".

We consider the hedging portfolio consisting in an option of value V (short position) and Δ shares of the underlying asset of price S (long position), and consider a strategy where the portfolio is reviewed every δt, with δt a finite, fixed time step.

Hence, if we call V the option price and Q the rate of dividends of the underlying asset, then the BS related PDE operator, named L V), is as follows: L V)=frac{partial V}{partial t}+frac{1}{2}+left r-Qright^2frac{partial^2V}+left r-Qright}+left(r-Qright){S}_tfrac{partial V}{partial S}-rV.

This strategy offers unlimited profit potential and limited risk over the life of the option, regardless of the movement of the underlying asset.

The main determinant of the value of an option is the volatility of the underlying asset over the life of the option.

The volatility of the price of the underlying asset is constant.

Cash settlement allows the payment of cash in lieu of the underlying asset.