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Hull-White Option Model

A valuation model which is used to price interest rate options using mean reversion to generate a future interest rate....

Ho and Lee Option Model

An interest rate option model (originally appeared in 1986) which uses short rates in pricing interest rate derivatives such as...

Option Pricing Model

A mathematical model which is designed and used to figure out the optimal (theoretical) value of an option based on...

HJM Model

A multi-factor valuation model which is designed to price interest rate options (broadly interest rate derivatives) and specific credit derivatives...

Heath-Jarrow-Morton Model

A multi-factor valuation model which is designed to price interest rate options (broadly interest rate derivatives) and specific credit derivatives...

Share Option

A contract that confers on the holder the right, but not the obligation, to subscribe to the shares of an...

Worse-Of Option

An option to exercise on a bundle of long forwards (forwards owned or purchased). The forwards have a maturity date...

Option Leverage

Options are highly leveraged investments. In the underlying price moves favorably, an investor could earn much bigger percentage gains on...

Worst-of-Two Option

An exotic option (specifically a type of an either-or option or an alternative option) whose payoff is based on the...

Fixed Strike Asian Option

An option (Asian option) whose payoff depends on the average price of the underlying asset during at least some part...