Borkowski, Bolesław; Krawiec, Monika; Shachmurove, Yochanan - In: Global Finance Journal 24 (2013) 2, pp. 119-128
The volatility of an asset price measures how uncertain we are about future asset price movements. It is one of the factors affecting option price and the only input into the Black–Scholes model that cannot be directly observed. Thus, estimating volatility properly is vital. Two approaches to...