T
The AA
Member
Hi,
Can anyone explain why the value for an asset (paying dividends) or nothing call is:
Soe^-(qT)N(d1)
I thought the probability of the asset being higher than the strike price is N(d2) not N(d1), and you then multiply this by the value of the stock at maturity ST.
Also can anyone explain the difference between limit order and market if toucjed order?
Can anyone explain why the value for an asset (paying dividends) or nothing call is:
Soe^-(qT)N(d1)
I thought the probability of the asset being higher than the strike price is N(d2) not N(d1), and you then multiply this by the value of the stock at maturity ST.
Also can anyone explain the difference between limit order and market if toucjed order?