option money

Pricing Model Assumptions

MindXpansion logo
||  Home  ||   Benefits  ||   FAQ  ||   FREE Tips  ||   Contact Us  ||

Free Newsletter

  FREE Tips
  Contact Us

option money

Option Pricing Model Assumptions

Our services use Nobel Prize Winning formulas to determine the theoretical Fair Value for an option, based on the value of the underlying asset, strike price, time to expiration, volatility of the underlying asset, and the risk-free interest rate, when you are able to hold the option until the expiration date. The following assumptions are used in this model:

  • The market operates continuously and the stock price in any time period depends only on the stock price observed in the preceding period.
  • The direction of the market or an individual stock price cannot be predicted consistently.
  • The price of the underlying asset is lognormally distributed.
  • Interest rates and dividend rates are known and remain constant during the period of interest.
  • Commissions are ignored.

Analyze Your Employee Stock Options Today

Find Out the Fair Value of Your Options Now and make Projections for the Future!

Use our employee stock option analysis services to find out the fair value of your options right now and make projections to see what they should be worth in the future. Pick the best time to exercise your options and find out how much money you will walk away with. Maximize Your Retirement Funds!

Submit your option information to Value your options.

Submit your option information to make projections.

Submit your option information for liquidation analyses.

Related Option Sites:
Divorce Option Valuation
Option Trading Software
Valuation of Company Options
Option Posting Service for Companies

||  Home  ||   Benefits  ||   FAQ  ||   FREE Tips  ||   Contact Us  ||   Links  ||