Modeling volatility in foreign currency option pricing

This paper presents a general optimization framework to forecast put and call option prices by exploiting the volatility of the options prices. The approach is flexible in that different objective functions for predicting the underlying volatility can be modified and adapted in the proposed framewor...

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Bibliographic Details
Main Authors: Hoque, Mohammed, Chan, Felix, Manzur, Meher
Format: Working Paper
Published: School of Economics and Finance, Curtin Business School 2008
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/10204