Binomial Option Pricing Model || Derivatives || CFA Level-1

preview_player
Показать описание
In this video, we will understand how the Binomial model works to calculate the value of Options. Though the binomial may not be used in the real life to derive the value of Options, but it is very important to learn this, as this is applicable across various types of Options and how they work.

Enjoyed this video? If yes, then this channel will make you fall in love with us!

What is this channel all about? 🤔

One place where you could learn all about your CFA Level-1 curriculum. The videos are arranged in the right order subject-wise.

Join us in our journey to boost your stock market knowledge - the product that we’re building next after making CFA education accessible to everyone! 🚀


Also, Follow Kunal on LinkedIn who took this step so that all of us can study CFA Level-1 for free.

Рекомендации по теме
Комментарии
Автор

Answer should be $5.09. Thanks for explaning. Also at time t = 1, price after upmove should be $39.9 and not $34.5.

You should edit the right ans in the description and pin a comment mentioning it in comment section.

kaustubhjoshi
Автор

i really like this video, easy to understand and we are here to learn the concept, the calculation you can do on your own.

vaibhavbisht
Автор

Sir I think that there is a calculation mistake in process of calculating Probability of Price going up ( which made all the further answers wrong) . Btw Amazing Explanation!!

rossmax
Автор

The complete video is wrong. All wrong calculations.

Shreyapatel-trth