Super Finance Glossary
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Fair Value Or Theoretical Value
Fair Value Or Theoretical Value
Definition: An estimate of an options worth produced by a mathematical pricing model, such as the Black-Scholes Equation or a Binomial Option Tree based on certain assumptions about prevailing interest rates and option volatility. See also Greeks.
Definition: An estimate of an options worth produced by a mathematical pricing model, such as the Black-Scholes Equation or a Binomial Option Tree based on certain assumptions about prevailing interest rates and option volatility. See also Greeks.