Options
3rd Edition
Published on 28. June 1997
Book
Mixed media product
368 pages
978-1-57718-064-7 (ISBN)
Description
The third edition of Options is a comprehensive look at the most simple to the more complex use and structure of options.
More details
Edition
3rd edition
Language
English
Place of publication
New York
United States
Target group
College/higher education
Professional and scholarly
Dimensions
Height: 244 mm
Width: 196 mm
Thickness: 25 mm
Weight
862 gr
ISBN-13
978-1-57718-064-7 (9781577180647)
Copyright in bibliographic data and cover images is held by Nielsen Book Services Limited or by the publishers or by their respective licensors: all rights reserved.
Schweitzer Classification
Other editions
Previous edition
Book
03/1995
2nd Edition
Blackwell Publishers
€79.42
Article exhausted; check for reprint
Person
ROBERT W. KOLB was John S. and James L. Knight Professor of Finance at the University of Miami until 1995. He is author or coauthor of finance texts on a range of topics including futures, options, financial derivatives, investments, corporate finance, and financial institutions. He was founder and president of Kolb Publishing Company, sold to Blackwell Publishers in 1995. His research has been published in Financial Management, the Journal of Finance, the Journal of Risk and Insurance, the Journal of Financial Economics, and the Journal of Futures Markets.
Content
Preface. Acknowledgements.
Part I: The Options Market:.
1. Introduction.
2. What Is an Option?.
3. An Option Example.
4. Moneyness.
5. American and European Options.
6. Why Trade Options?.
7. The Option Contract.
8. The Options Market.
9. Option Trading Procedures.
10. The Clearinghouse.
11. Margins.
12. Commissions.
13. Taxation.
14. The Organization of the Text.
15. OPTION!Software.
16. Summary.
17. Questions and Problems.
18. Notes.
Part II: Option Payoffs and Option Strategies:.
1. Introduction.
2. Stocks and Bonds.
3. Arbitrage.
4. Option Notation.
5. European and American Option Values at Expiration.
6. Buy or Sell a Call Option.
7. Call Options at Expiration and Arbitrage.
8. Buy or Sell a Put Option.
9. Moneyness.
10. Option Combinations.
11. Combining Options with Bonds and Stocks.
12. Summary.
13. Questions and Problems.
14. Notes.
Part III: Bounds on Option Prices:.
1. Introduction.
2. The Boundary Space for Call and Put Options.
3. Relationships Between Call Prices.
4. Relationships Between Put Option Prices.
5. Option Prices and the Interest Rate.
6. Option Prices and Stock Price Movements.
7. Option Prices and the Riskiness of Stocks.
8. Summary.
9. Questions and Problems.
10. Notes.
Part IV: European Option Pricing:.
1. Introduction.
2. The Single-Period Binomial Model.
3. The Multi-Period Binomial Model.
4. Binomial Put Option Pricing.
5. Stock Price Movement.
6. The Binomial Approach to the Black-Scholes Model.
7. The Black-Scholes Option Pricing Model.
8. Inputs for the Black-Scholes Model.
9. European Options and Dividends.
10. Tests of the Option Pricing Model.
11. Summary.
12. Questions and Problems.
13. Notes.
Part V: Option Sensitivities and Option Hedging:.
1. Introduction.
2. Option Sensitivities in the Merton and Black-Scholes Models.
3. DELTA.
4. DELTA-Neutral Positions.
5. THETA.
6. VEGA.
7. RHO.
8. GAMMA.
9. Creating Neutral Portfolios.
10. Option Sensitivities and Option Trading Strategies.
11. Summary.
12. Questions and Problems.
13. Notes.
Part VI: American Option Pricing:.
1. Introduction.
2. American versus European Options.
3. Pseudo-American Call Option Pricing.
4. Exact American Call Option Pricing.
5. Analytical Approximations of American Option Prices.
6. The Binomial Model and American Option Prices.
7. Summary.
8. Questions and Problems.
9. Notes.
Part VII: Options on Stock Indexes, Foreign Currency, and Futures:.
1. Introduction.
2. European Option Pricing.
3. Option Sensitivities.
4. Pricing American Options.
5. Summary.
6. Questions and Problems.
7. Notes.
Part VIII: The Options Approach to Corporate Securities:.
1. Introduction.
2. Equity and a Pure Discount Bond.
3. Senior and Subordinated Debt.
4. Callable Bonds.
5. Convertible Bonds.
6. Warrants.
7. Summary.
8. Questions and Problems.
9. Notes.
Part IX: Exotic Options:.
1. Introduction.
2. Assumptions of the Analysis and the Pricing Environment.
3. Forward-Start Options.
4. Compound Options.
5. Chooser Options.
6. Barrier Options.
7. Binary Options.
8. Lookback Options.
9. Average Price Options.
10. Exchange Options.
11. Rainbow Options.
12. Summary.
13. Questions and Problems.
14. Notes.
15. OPTION!Installation and Quick Start.
16. Exercises for OPTION!.
Appendix.
Index.
Part I: The Options Market:.
1. Introduction.
2. What Is an Option?.
3. An Option Example.
4. Moneyness.
5. American and European Options.
6. Why Trade Options?.
7. The Option Contract.
8. The Options Market.
9. Option Trading Procedures.
10. The Clearinghouse.
11. Margins.
12. Commissions.
13. Taxation.
14. The Organization of the Text.
15. OPTION!Software.
16. Summary.
17. Questions and Problems.
18. Notes.
Part II: Option Payoffs and Option Strategies:.
1. Introduction.
2. Stocks and Bonds.
3. Arbitrage.
4. Option Notation.
5. European and American Option Values at Expiration.
6. Buy or Sell a Call Option.
7. Call Options at Expiration and Arbitrage.
8. Buy or Sell a Put Option.
9. Moneyness.
10. Option Combinations.
11. Combining Options with Bonds and Stocks.
12. Summary.
13. Questions and Problems.
14. Notes.
Part III: Bounds on Option Prices:.
1. Introduction.
2. The Boundary Space for Call and Put Options.
3. Relationships Between Call Prices.
4. Relationships Between Put Option Prices.
5. Option Prices and the Interest Rate.
6. Option Prices and Stock Price Movements.
7. Option Prices and the Riskiness of Stocks.
8. Summary.
9. Questions and Problems.
10. Notes.
Part IV: European Option Pricing:.
1. Introduction.
2. The Single-Period Binomial Model.
3. The Multi-Period Binomial Model.
4. Binomial Put Option Pricing.
5. Stock Price Movement.
6. The Binomial Approach to the Black-Scholes Model.
7. The Black-Scholes Option Pricing Model.
8. Inputs for the Black-Scholes Model.
9. European Options and Dividends.
10. Tests of the Option Pricing Model.
11. Summary.
12. Questions and Problems.
13. Notes.
Part V: Option Sensitivities and Option Hedging:.
1. Introduction.
2. Option Sensitivities in the Merton and Black-Scholes Models.
3. DELTA.
4. DELTA-Neutral Positions.
5. THETA.
6. VEGA.
7. RHO.
8. GAMMA.
9. Creating Neutral Portfolios.
10. Option Sensitivities and Option Trading Strategies.
11. Summary.
12. Questions and Problems.
13. Notes.
Part VI: American Option Pricing:.
1. Introduction.
2. American versus European Options.
3. Pseudo-American Call Option Pricing.
4. Exact American Call Option Pricing.
5. Analytical Approximations of American Option Prices.
6. The Binomial Model and American Option Prices.
7. Summary.
8. Questions and Problems.
9. Notes.
Part VII: Options on Stock Indexes, Foreign Currency, and Futures:.
1. Introduction.
2. European Option Pricing.
3. Option Sensitivities.
4. Pricing American Options.
5. Summary.
6. Questions and Problems.
7. Notes.
Part VIII: The Options Approach to Corporate Securities:.
1. Introduction.
2. Equity and a Pure Discount Bond.
3. Senior and Subordinated Debt.
4. Callable Bonds.
5. Convertible Bonds.
6. Warrants.
7. Summary.
8. Questions and Problems.
9. Notes.
Part IX: Exotic Options:.
1. Introduction.
2. Assumptions of the Analysis and the Pricing Environment.
3. Forward-Start Options.
4. Compound Options.
5. Chooser Options.
6. Barrier Options.
7. Binary Options.
8. Lookback Options.
9. Average Price Options.
10. Exchange Options.
11. Rainbow Options.
12. Summary.
13. Questions and Problems.
14. Notes.
15. OPTION!Installation and Quick Start.
16. Exercises for OPTION!.
Appendix.
Index.