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A binary option is a financial exotic option in which the payoff is either some fixed monetary. . In fact, the Black–Scholes formula for the price of a vanilla call option (or put option) can be interpreted by decomposing a call option into an.
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A binary option is a financial exotic option in which the payoff is either some fixed monetary amount or nothing at all. The two main types of binary options are the cash-or-nothing binary option. Binary options" are based on a simple 'yes' or 'no ' proposition: Will an underlying asset be above a certain price at a certain time?
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