Black-Scholes Model: What It Is, How It Works, and the Options Formula

Learn about the Black-Scholes model, how it works, and how its formula helps estimate fair option prices by weighing ...
Bloomberg L.P.

The development of the Black-Scholes formula: Theory, research and practice

If we look back over the history of modern financial markets, one of the most influential developments was the Black-Scholes option pricing formula. However, there are a number of misconceptions ...
Investment U

The Black Scholes Model: An Options Pricing Formula

The Black Scholes Model is a mathematical options-pricing model used to determine the prices of call and put options. The standard formula is only for European options, but it can be adjusted to price ...