Black Scholes Model and its frailty

 

Sharing an interesting article came across on the frailty of Black Scholes model. Rather frailty, its more about how abuse of a complex mathematical theory can lead to disastrous results. Writer has presented this on backdrop of sub-prime mortgage crisis of 2008. Link.

 

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About Retvic Bisaria
Hi, I am Retvic Bisaria, a finance professional working for an US based IT offshoring and Outsourcing company. Besides a finance professional, I am a photography enthusiast and love visiting places.

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