IDEAS home Printed from https://ideas.repec.org/a/icf/icfjae/v06y2007i6p94-109.html
   My bibliography  Save this article

Optimal Choosing Models for Executing Criteria for American Options

Author

Listed:
  • Dai Feng
  • Liang Ling

Abstract

Based on the structure models of options pricing (Dai and Qin, 2005), this paper presents the models using which the optimal criterion for executing American options could be computed. By using these models, one can find the choosing criterion and optimal prices to exercise the American call and put options. Thus, a decision can be made as to whether an American option (call or put) should be exercised or not at a particular time. Results obtained from the empirical analysis are very practical and useful. The results and the related discussions of this paper are more important with regard to their consulting effect for single traders and organization traders to help them perform their security market trade.

Suggested Citation

  • Dai Feng & Liang Ling, 2007. "Optimal Choosing Models for Executing Criteria for American Options," The IUP Journal of Applied Economics, IUP Publications, vol. 0(6), pages 94-109, November.
    • Handle: RePEc:icf:icfjae:v:06:y:2007:i:6:p:94-109
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Feng Dai & Jianping Qi & Ling Liang, 2011. "Socio‐economic development model based on stochastic advance‐retreat course," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 38(5), pages 416-437, April.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:icf:icfjae:v:06:y:2007:i:6:p:94-109. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: G R K Murty (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.