标题: Binomial Model [打印本页] 作者: dandman 时间: 2011-7-13 13:11 标题: Binomial Model
I am confusing now, when we come across binomial tree, sometime we need to calculate probability of up-move by 1+Rf-D / U- D, sometimes just use 50%, pls help!作者: llxx 时间: 2011-7-13 13:11
For bond calcs with given coupon given assume 50%....for option calcs for value of put/calls you need to work out % of up/down moves
