FinancePy

FinancePy API Reference

Black Shifted

financepy.models.black_shifted

Classes

BlackShifted

BlackShifted(volatility: float, shift: float, implementation: int = 0) -> None
Black's Model which prices call and put options in the forward measure according to the Black-Scholes equation. This model also allows the distribution to be shifted to the negative in order to allow for negative interest rates.

Methods

value

value(self, forward_rate: float, strike_rate: float, time_to_expiry: float, df: float, call_or_put: financepy.utils.global_types.OptionTypes) -> float
Price a derivative using Black's model which values in the forward measure following a change of measure. The sign of the shift is the same as Matlab.
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