An alternative valuation model for contingent claims

Article Abstract:

A mathematical model is developed to study the contingent claims valuation in a Lucas-type exchange economy. Former studies in contingent claims valuation employed the Cox-Ingersoll-Ross model. Improvements were based on the derivation of the sensitivity of the model based on the direct utility function and an exogenous output process. The model yielded better results in interest rate and stock price dynamics.

User Contributions:

Comment about this article or add new information about this topic:

Comment:  (50-4000 characters)

Name:

E-mail:

Security Code:

Indexed executive stock options

Article Abstract:

Research is presented into the pricing of executive stock options that are indexed, with focus on the resulting value and degree of incentive to the recipient when the risk element of the stock is reduced by indexing it to the market.

User Contributions:

Comment about this article or add new information about this topic:

Comment:  (50-4000 characters)

Name:

E-mail:

Security Code:

The value and incentive efforts of nontraditional executive stock option plans

Article Abstract:

Research is presented into the value and incentives offered by six nontraditional executive stock options as compared with traditional executive stock options, with focus on the differing incentives when value is kept constant.

User Contributions:

Comment about this article or add new information about this topic:

Comment:  (50-4000 characters)

Name:

E-mail:

Security Code: