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bls.order1

Black Scholes First-order Greeks


Description

Gives the price and first order greeks for call and put options in the Black Scholes equation.

Usage

bls.order1(S,K,r,t,sd,D=0)

Arguments

S

spot price at time 0

K

strike price

r

continuously compounded yearly risk free rate

t

time of expiration (in years)

sd

standard deviation of the stock (volatility)

D

continuous dividend yield

Value

A matrix of the calculated greeks and prices for call and put options.

Note

Cannot have any inputs as vectors.

t cannot be negative.

Either both or neither of S and K must be negative.

Author(s)

Kameron Penn and Jack Schmidt

See Also

Examples

x <- bls.order1(S=100, K=110, r=.05, t=1, sd=.1, D=0)
ThetaPut <- x["Theta","Put"]
DeltaCall <- x[2,1]

FinancialMath

Financial Mathematics for Actuaries

v0.1.1
GPL-2
Authors
Kameron Penn [aut, cre], Jack Schmidt [aut]
Initial release

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