Black Scholes Option Quotes & Sayings

Looking into it a bit, Jamie found that the model used by Wall Street to price LEAPs, the Black-Scholes option pricing model, made some strange assumptions. — Michael Lewis

When a man puts on a Character he is a stranger to, there's as much difference between what he appears, and what he is really in himself, as there is between a VIzor and a Face. — Jean De La Bruyere

Black-Scholes works for short-term options, but if it's a long-term option and you think you know something [about the underlying asset], it's insane to use Black-Scholes. — Charlie Munger

The longer-term the option, the sillier the results generated by the Black-Scholes option pricing model, and the greater the opportunity for people who didn't use it. — Michael Lewis

My principal contribution to the Black-Scholes option-pricing theory was to show that the dynamic trading strategy prescribed by Black and Scholes to offset the risk exposure of an option would provide a perfect hedge in the limit of continuous trading. — Robert C. Merton

It's hard to be an ornithologist and walk through a wood when all around you the world is shouting: 'Bugger off, this is my bush! Aargh, the nest thief! Have sex with me, I can make my chest big and red! — Terry Pratchett

I was fascinated by the [operation] of a U-boat ... where every single man was an indispensable part of the whole. Every submariner, I am sure, has experienced in his heart [the joy of] the task entrusted to him [and] felt as rich as a king. — Karl Donitz

He was after a sensational story and this, of course, could not be constructed out of mere truth; not out of officially released truth, anyway. It was essential that the news-reading public should feel, first, that the community was in danger and secondly that people - well-off people, "official" people - who ought to have known better, were to blame for it. — Richard Adams

I remember going to see those Adrian Lyne films when I was going to see movies in the nineties, and I was jealous he wasn't working at New Line. — Michael De Luca

All good things are borne from evil, just like good people. It's very rare that someone does things purely out of the goodness of their heart. Most need something to fight against, something to drive them forward in order to create a light in what will always be a very dark world. — Kevin Reaver

Insensitivity makes arrogance ugly; empathy is what makes humility beautiful. — Renford Reese

... Within the mind, especially the mind under great stress... boundaries of space and time are meaningless, and the... interior self lives by other rules and in other dimensions. — Frederick Busch

We know the existence of the infinite without knowing its nature, because it too has extension but unlike us no limits.
But we do not know either the existence or the nature of God, because he has neither extension nor limits. — Blaise Pascal

They say no matter how hard you work, there's always someone, somewhere working harder then you. Guess what.. I'm that someone — Kevin Garnett

You can't save dollar by dollar to become wealthy. — Ehab Atalla

I may not want your help, but I always want you beside me. — Debasish Mridha

Black-Scholes is a know-nothing system. If you know nothing about value - only price - then Black-Scholes is a pretty good guess at what a 90-day option might be worth. But the minute you get into longer periods of time, it's crazy to get into Black-Scholes. For example, at Costco we issued stock options with strike prices of $30 and $60, and Black-Scholes valued the $60 ones higher. This is insane. — Charlie Munger

Neither. He's a - a - a meat dog. — L. Frank Baum

The monkeys solved the puzzle simply because they found it gratifying to solve puzzles. They enjoyed it. The joy of the task was its own reward. — Daniel H. Pink

For the most sensitive among us, the noise can be too much. — Jim Carrey