Web based accurate options pricing

Discussion in 'Options' started by jgiasi, Jul 25, 2006.

  1. jgiasi

    jgiasi

    Can anyone advise on a free web based options pricing tool that provides the most accurate pricing and greek calculation. I have been using the CBOE's one but the pricing is off from the empirical quotes. As such, how dependable are the corresponding Greeks. Can anyone advise on a calculator that is reliable.

    Thanks, Jennie
     
    #1     Jul 25, 2006
    Share
  2. Tums

    Tums

    #2     Jul 25, 2006
    Share
  3. FullyArticulate

    FullyArticulate

    Hi Jennie,

    If you plug in the IV, CBOE's calculator does return the proper option pricing, in my experience. Two possibilities:

    1) If you're looking at futures options, there are some complexities that the Black-Scholes model doesn't work so well for. (Black is the typical alternative)

    2) You don't have the proper IV.
     
    #3     Jul 25, 2006
    Share