In previous posts, we provided examples of pricing European and American options in Excel. For pricing the European option, we utilized the Black-Scholes formula, and for pricing the American option we utilized the binomial approach. In this post, we are going to implement these methods in Python. Recall that,
We use the same input parameters as in the previous examples. The main input parameters are as follows, Figure below shows the results calculated by the Python program. The Python program returns the same values as the Excel workbooks. Click on the link below to download the Python program. Post Source Here: Valuation of European and American Options-Derivative Pricing in Python
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