Guo Mingming, Wu Shujin, Zhu Xiaoyu. Parameter Estimation of Binomial Model[J]. Chinese Journal of Applied Probability and Statistics, 2014, 30(2): 206-212.
Citation: Guo Mingming, Wu Shujin, Zhu Xiaoyu. Parameter Estimation of Binomial Model[J]. Chinese Journal of Applied Probability and Statistics, 2014, 30(2): 206-212.

Parameter Estimation of Binomial Model

  • Binomial model is one of widely used models, and its parameters have a great influence on option pricing. In this paper, a new parameter estimation is given for binomial model, which overcomes the fault of usual methods to estimate parameters of binomial models, especially, eliminate the influence of subjective probability.
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