Futures and Options Markets

  1. Option Valuation
    1. Components of Option Value
      1. Intrinsic Value
        1. Call Option Intrinsic Value
          1. Put Option Intrinsic Value
          2. Time Value
            1. Time Decay Characteristics
              1. Factors Affecting Time Value
            2. Factors Affecting Option Prices
              1. Underlying Asset Price
                1. Strike Price
                  1. Time to Expiration
                    1. Volatility
                      1. Risk-Free Interest Rate
                        1. Dividend Yield
                          1. Early Exercise Features
                          2. Option Price Boundaries
                            1. Call Option Bounds
                              1. Upper Bounds
                                1. Lower Bounds
                                2. Put Option Bounds
                                  1. Upper Bounds
                                    1. Lower Bounds
                                  2. Put-Call Parity
                                    1. Theoretical Relationship
                                      1. Arbitrage Implications
                                        1. Dividend Adjustments
                                          1. American Option Modifications

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                                        7. Options Markets Fundamentals

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                                        9. Option Trading Strategies