English

Options Pricing for Two Stocks by Black Sholes Time Fractional Order NonLinear Partial Differential Equation

Pricing of Securities 2020-10-27 v1 Analysis of PDEs

Abstract

The BS equations with fractional order two asset price models give a better prediction of options pricing in the monetary market. In this paper, the changed form of BS-condition with two asset price models dependent on the Liovelle-Caputo derivative for good predictions of options prices are utilized. The analytical solution is demonstrated in form of convergent infinite series and obtained by the properties of Samudu Transform.

Keywords

Cite

@article{arxiv.2010.13411,
  title  = {Options Pricing for Two Stocks by Black Sholes Time Fractional Order NonLinear Partial Differential Equation},
  author = {Kamran Zakaria and Saeed Hafeez},
  journal= {arXiv preprint arXiv:2010.13411},
  year   = {2020}
}