This article introduces shout options and offers a pricing spreadsheet. A shout option let investors lock in profits before maturity, but leaves room for future gains.
This article introduces extendible options, and provides pricing free spreadsheets. Extendible options are a type of compound option and allow the life of the option to be extended beyond the original maturity date. A holder-extendible option can be extended by…
This article introduces compound options, and provides a pricing spreadsheet. Companies often use compound options when tendering for a contract; the option hedges against the risk of winning the contract.
This Excel spreadsheet calculates the price of a LIBOR option using the Black-76 model.
This article summarizes several methods for pricing American options, and provides free spreadsheets for each.
Forward start options are purchased in the present, but have a strike that is determined afterwards (i.e. at the forward date) but before maturity. At the forward date, the option becomes a standard European option.
This article introduces Chooser Options, and provides a pricing spreadsheet. Chooser options give the investor the privilege of choosing whether the option is a put or a call at some predetermined date.
This article introduces European Exchange Options, developed by Margrabe in 1978, and offers a free a pricing spreadsheet.
This guide introduces quanto options, and provides a pricing spreadsheet. Quantos are options that hedge against exchange rate risk. Typical examples are Nikkei index warrants.
This article introduces Bond Options, and provides pricing spreadsheets which use the the Black (1976) and Schaefer & Schwartz (1987) models.