English

Asymptotic expansion for characteristic function in Heston stochastic volatility model with fast mean-reverting correction

Computational Finance 2013-10-15 v1

Abstract

In this note, we derive the characteristic function expansion for logarithm of the underlying asset price in corrected Heston model as proposed by Fouque and Lorig.

Keywords

Cite

@article{arxiv.1310.3572,
  title  = {Asymptotic expansion for characteristic function in Heston stochastic volatility model with fast mean-reverting correction},
  author = {Ankush Agarwal},
  journal= {arXiv preprint arXiv:1310.3572},
  year   = {2013}
}

Comments

6 pages. arXiv admin note: text overlap with arXiv:1007.4366 by other authors