Files
opt-pricer/src/black_scholes.c
2017-07-25 23:10:05 -04:00

27 lines
741 B
C

#define _XOPEN_SOURCE
#include "black_scholes.h"
#include "utils.h"
#include <math.h>
#include <time.h>
void bsm(struct Option *opt)
{
double d1, d2, tte, price;
time_t value_date, expiry_date;
expiry_date = mktime(opt->expiry_date);
value_date = mktime(opt->value_date);
tte = difftime(expiry_date, value_date) / (60 * 60 * 24 * 365);
d1 = (log(opt->spot / opt->strike) + tte * (opt->rfr + pow(opt->vol, 2) / 2))
/ (opt->vol * pow(tte, 0.5));
d2 = d1 - (opt->vol * pow(tte, 0.5));
price = opt->spot * normalcdf(d1 * opt->type) * opt->type - opt->strike *
exp(-opt->rfr * tte) * normalcdf(d2 * opt->type) * opt->type;
opt->fv = price;
opt->vega = opt->spot / 100 * exp(-opt->rfr * tte) * pow(tte, 0.5) * normalpdf(d1);
}