sensitivities to chosen risk factors. I test these portfolios empirically and find that options signifi cantly improve the risk …

precision parameter of the DP process is calibrated to the amount of trading activity in deep-out-of-the-money options. We use …

rational expectations equilibrium model with asymmetric information and a full menu of call and put options available for …

I develop a noisy rational expectations equilibrium model with a continuum of states and a full set of options that … have important implications for price discovery through options …

return, such as volatility or skewness, and exploits her private information by trading a complete menu of options. The …

positive valuation effects. Increases in value are strongest for large firms and for firms from carbon intensive industries (e ….g., oil and gas). Valuation increases are driven by capital market effects such as higher liquidity and lower bid -- ask …

and real estate. We discuss the traditional valuation methods, in particular the net present value (NPV) rule, and show in … what circumstances these can lead to suboptimal investment decisions. Emphasis is placed on a real option valuation … bound in a competitive market and the real option exercise criteria and valuation models as providing the upper bound to …

include valuation, innovations in insurance products, investment, and modelling aspects …