nickenumbers Posted November 12, 2018 Share Posted November 12, 2018 I have seen where Buffett is not a fan of using the Black Scholes model for valuing options that are long dated. I believe that his issue is with the volatility input as the long dated nature of some options make the volatility a little less relevant. Has anyone seen a model or a calculator for long dated options that Buffett prefers? I am a little fuzzy on this next comment, but I think Buffett said that the valuation of PUT options over the long run was more wrong than the value of CALLs but, I am not 100% on that. Thoughts, input, opinions? :-* 8) :P Link to comment Share on other sites More sharing options...
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