Warrants help please, page-4

  1. 18,561 Posts.
    Hi Andrew

    Some questions re your answer about the MM using historical volatility - he will use historical volatility as a basis for calculating his implied volatility won't he? The value of the warrant is always calculated on implied volatility rather than historical volatility isn't it?

    The fact that the volatility changed doesn't necessarily mean that Iani paid too much in the first place does it?

    Regards
 
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