thisisbrianly

Min value of an amer call and euro call with the EXACT same characteristics aside from option to exercise early on the amer call is the same.

Max value of amer call and euro call are also calculated the same but it is understood that the amer call is AT LEAST equal to the euro call (the premium may be greater than the euro call)...


At this point, I wouldn't be looking into understanding why that is, but it is that way...