... short- term wealth instead of focusing on sustained performance and enduring results. STOCK OPTIONS AND CORPORATE CULTURE When stock options particularly large amounts of them— are offered to executives ... $600 million in stock options. It is too simplistic to state that stock options caused the down- fall of Enron, whose falsified financial books in a roaring bull mar- ket helped the stock price rise ... pay and performance. Today and in the future board members are the crucial players in the stock options game and on the broader playing field of executive compensation. THE PROBLEM WITH OPTIONS Executive...
Ngày tải lên: 21/12/2013, 01:19
... short-maturity options and over-pricing of long-maturity options, and overpricing of deep OTM options and underpricing deep ITM options. The pricing errors of long-term deep ITM options are dramatically ... especially the long-term options. The mod- els in general over-price medium- and long-term options, and under-price short-term deep ITM and deep OTM options. For short-term options, our results are ... (1993), Bates (1996a,b), and Bakshi, Cao and Chen (1997), and examples in discrete-time include Taylor (1986), Amin and Ng (1993), Harvey, Ruiz and Shephard (1994), and Kim, Shephard and Chib (1998)....
Ngày tải lên: 21/12/2013, 01:20
Tài liệu Solutions for small business - business planning and financial forecasting docx
... businesses. There are dozens of planning guides and planning outlines, books, audio tapes, computer programs and online planning services. All of them have things in common and all have differences. (In ... Economic Diversification and the Ministry of Competition, Science and Enterprise. The program offers specialists who can advise on taxation, statistics and business planning as well as a wide ... loans outstanding and current operating line of credit ã Total all amounts from Owners/Investors/Shareholders and ‘Lenders’ for total sources of financing. List uses of financing with amounts and totals. These...
Ngày tải lên: 25/01/2014, 13:20
Proposal for a COUNCIL DIRECTIVE on a common system of financial transaction tax and amending Directive 2008/7/EC pot
... stabilising markets and (3) avoiding distortions on the internal market. The impact assessment analysed two basic options: a financial transaction tax (FTT) and a financial activities tax (FAT), as ... economic effects and incidence of the tax, possible avoidance strategies and relocation risks: ã a broadly defined tax scope as regards products, transactions, types of trade and financial actors ... accurately and timely and to prevent evasion, avoidance and abuse. In this context, Member States should use existing and forthcoming EU legislation on financial markets that includes reporting and...
Ngày tải lên: 29/03/2014, 18:20
the effect of accounting regulation on second-tier audit firms and their clients audit pricing and quality, cost of capital, and backdating of stock options
... Backdating of Executive Stock Options The use of stock options in executives’ compensation packages has grown rapidly in the past decade (Lee and Alam 2004). Stock options are intended to align ... (e.g., Carey and Simnett 2006), industry expertise level (e.g., Jensen and Payne 2005), audit tenure (e.g., Beck and Wu 2006; Ghosh and Moon 2005), and auditor’s reputation (e.g., Hay and Davis ... understanding of previous audit and financial accounting research from the perspective of Second-Tier audit firms. By examining Second-Tier audit firms and their clients, a better understanding...
Ngày tải lên: 03/06/2014, 02:15
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_2 pptx
... of the stock, yet they are less expensive than a stock purchase. 3 Pricing and behaviour Now that you understand the nature of calls and puts, you need to know how they are priced and how ... 0.305 and contains a time premium of 0.015. The options most traded are those at-the-money or out-of-the-money 12 Part 1 Options fundamentals The contract multiplier for GE, and most stock ... –2.42 20 Part 1 ■ Options fundamentals In graphic form, your expiration profit/loss would be as in Figure 2.2. The multiplier for stock options at the Chicago Board Options Exchange (CBOE)...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_3 pot
... say that these options, both the call and the put, are pinned. This causes a problem for options on stocks and options on futures contracts, but not for options on stock indexes and short-term ... potentially unlimited risk, and short puts incur extreme risk. Options on stock indexes A stock index is a proxy for all the stocks that comprise it. Calls and puts on a stock index are priced according ... the index, and the amount of dividends contained in the index. The costs of carry and dividends are added and discounted in the same manner as options on individual stocks. These options are...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_5 doc
... potential sale of the stock at 117, and a potential buy of the stock at 119. For this risk, you collect a premium. 4 This spread is also known as the bear call spread and the short vertical ... the stock declines, a possible loss is cut at the lower strike, or 111. You may think of this spread as a potential buy of the stock at the higher strike, or 113, and a potential sale of the stock ... the put spreads. Refer to the table of Coca-Cola options above. Coca-Cola at 52.67 August options, 100 days until expiration Try to develop your options awareness by taking a few minutes to analyse...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_7 doc
... 1. Another risk is that of early exercise with American-style options such as the OEX, and most options on individual stocks in the US and UK. If your short strike becomes deep in-the-money close ... therefore leaving your long options unhedged. With a long call butterfly in stocks, you may be assigned an unwanted short stock position, and with a long put butterfly in stocks, you may be assigned ... 13 Butterflies and condors: combining call spreads and put spreads 141 There is an additional risk in that the deep in-the-money puts on stocks and American-style stock indexes generally...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_9 potx
... the same 202 Part 3 Thinking about options Observing skews: stocks and stock indexes Figure 20.2 shows a graph of the volatility skew for December options on the OEX. Table 20.2 gives the ... in the stocks may be seen as a put buying opportunity, and demand remains strong. This can be nerve-racking for put sellers, and they feel like sitting ducks. Often the market retraces and stabilises, ... for understanding the behaviour of your options position if one of these situ- ations arises. Stocks up, calls practically unchanged or underperforming Occasionally when a stock or stock index...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_10 ppt
... non-essentials Conversion and reversals on individual stocks and on other stock indexes The conversion and reversal markets on stocks operate in basically the same manner. Remember that with stocks there ... futures contract were eliminated, and the options were exercisable instead to cash, then the relationship would be the same as between stocks and stock options. The OEX options are traded in this ... American-style options on indi- vidual stocks, i.e. most stock options. Put–call parity can be a helpful way of pricing options, but its limitations must be considered. A call and a put at the same strike...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_11 pot
... what options are and what they do. You also know how to create spreads, and you have a basic understanding of volatility. Most importantly, you have an understanding of risk. You understand ... more to be said about options in terms of theory and in terms of trading. The Financial Times Guide to Options, and its pre- cursor, Options Plain and Simple, are intended to be a practical guide ... are the intrinsic and time values of the options? 3 Parity options contain approximately equal amounts of intrinsic and time premiums. True or false? 4 Why do at-the-money options contain the...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_13 docx
... help you understand how conver- sions and reversals form the basis of bid–ask spreads, or markets, for options. M&S at 350.60 May options, 75 days until expiry Bank of England rate at 0.50 ... following May options on Marks and Spencer, determine the price of the synthetic futures contract and the prices of the missing options. Bear in mind that these are settlements and that there ... the stock markets have been extremely volatile. However, bail-out packages with the IMF and the more solvent nations have finally been agreed upon. The global stock markets have sold off, and...
Ngày tải lên: 20/06/2014, 20:20
The Financial Times Guide to Options: The Plain and Simple Guide to Successful Strategies (2nd Edition) (Financial Times Guides)_14 doc
... Analysis of the Financial Markets by John J. Murphy, New York Institute of Finance. Thorough and readable An Introduction to the Global Financial Markets (2010) by Stephen Valdez, and Philip Molyneux, ... dividends, interest rates and margin vs 29–30 Chicago Board Options Exchange (CBOE) contract multiplier 12 European and American style 34, 35 312 Index Chicago Board Options Exchange (CBOE) ... conversion and reversals 236 early exercise premium 35 futures contracts 222, 223 interest rates, dividends and margin vs cash payment 29–30 volatility skews 202–3, 207, 210, 214, 309 stock options ...
Ngày tải lên: 20/06/2014, 20:20
Complete Guide to Real Estate Tax Liens and Foreclosure Deeds Learn in 7 Days Investing Without Losing Series_2 pptx
Ngày tải lên: 21/06/2014, 07:20
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