What you need to write is option markets not have any impact

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Financial Derivatives Assignment -

Task: "...Black and Scholes (1973) treat stock options as redundant securities as their payoffs can be replicated in continuous time by investments in stocks and bonds. Thus, the existence of options markets should not have any impact on the market quality of the underlying stocks..." Discuss this statement and provide a critical evaluation of the relevant theoretical and empirical literature.

Attachment content is the subject of the entire group report, but you don't need to write it all, just write a part. What you need to write is option markets should not have any impact on the market quality of underlying stocks.

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Reference no: EM131953935

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len1953935

4/23/2018 4:46:29 AM

Total 1000 words. Attachment content is the subject of the entire group report, but you don't need to write it all, just write a part. What you need to write is optionmarkets should not have any impact on the market quality of underlying stocks. Please find a few references to demonstrate, and include a model of others to demonstrate.

len1953935

4/23/2018 4:46:24 AM

Marking Scheme: The following provides a guide to the marking scheme used to assess essay quality: 70 to 100% – Excellent Pass: An excellent answer should be outstanding in most respects. It should show an accurate grasp of the issues raised by the question and should conduct a sustained, coherent argument in a style that is fluent. It should demonstrate an excellent knowledge and understanding of the literature, using relevant, recent, and high quality reference material.

len1953935

4/23/2018 4:46:19 AM

Submission Procedure: Coursework must be submitted by 14.00 pm on the submission deadline. One copy must be submitted via TurnitinUK on Learning Central and one hardcopy must be submitted to the Postgraduate Hub. If you do not submit both copies then a mark of zero will be given. Note that late submissions will also be given a mark of zero.

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