Timothy Falcon Crack Boeken

Dr. Crack, with a PhD in option pricing from MIT and Harvard Business School, has extensive experience in teaching, consulting, and trading options, which enriches this revised third edition of Basic Black-Scholes. The book offers clear explanations of Black-Scholes option pricing theory and its direct applications to trading. It focuses on foundational concepts, emphasizing that novices can succeed in options markets without delving into complex theories. The trading advice remains accessible, mainly addressing basic call and put positions, as more intricate trades are merely combinations of these. Unique features include essential insights for first-time traders and job interviews, honest trading advice, and a thorough exploration of transaction costs (T-costs). It provides practical lessons, stylized market facts, and guidance on applying European-style Black-Scholes to American-style options. The book also covers margin trading leverage, includes Black-Scholes pricing code for various calculators, and offers two downloadable spreadsheets for forecasting T-costs and exploring option sensitivities. Additional elements include Bloomberg Terminal screenshots, discussions on continuously-compounded returns, paratrading, early exercise decisions, put-call parity, and intuitive reviews of risk-neutral pricing. The text distinguishes between early Merton hedging arguments and later risk-neutral pricing methods, discusses Monte-C

University teachers can use this book to improve job performance and satisfaction, and to increase the likelihood of promotion and career success. University administrators can give this book to new teachers to help build quality teaching.