This paper sets up a one period model for pricing an option with a fuzzy payoff. The option is written on an underlying … asset that has a fuzzy price at the end of the period, modelled by means of triangular fuzzy numbers. The pricing … methodology used is the standard one for pricing derivatives, i.e. the so called risk neutral valuation. Combining the standard …

adequacy of actuarial and financial approaches for pricing ILWs, as well as the aspects of basis risk. Finally, drivers of … demand and associated models frameworks from the purchaser's viewpoint are studied. Findings – Financial pricing approaches …

We propose and empirically study a pricing model for convertible bonds based on Monte Carlo simulation. The method uses … parametric representations of the early exercise decisions and consists of two stages. Pricing convertible bonds with the … pricing study of the US market, using 32 convertible bonds and 69 months of daily market prices. Our results do not confirm …

feature is more pronounced when the market is more volatile, and delivers better pricing as well as hedging performance under …

The interpretation and valuation of real options by means of options pricing theory can be regarded as a relatively new … paradigm of investment theory. Option pricing theory based investment valuation represents a sound theoretical basis and offers …

arising from the interactions of the operating and strategic flexibility during the course of a project. Option pricing theory … options that may create added value to the project. A binomial option pricing model is proposed that estimates the potential …

Real estate developers often operate in oligopolistic environments. Pricing strategies must be made in an interactive … bidding for land and pricing the end product is examined. The results indicate that competitor actions are important … considerations in pricing decisions. In particular, the profit maximizing pricing strategy depends critically on being competitive …

traditional hedonic pricing method as well as the option model modified from Quigg. The results are compared to deduce whether …