Questions tagged [trinomial-tree]

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Trinomial Trees for Hull-White model

I am studying trinomial trees and trying to implement them in Python to compare them to the monte carlo simulation. I searched 3-4 hours in the web; but can't find any implementation on binomial or ...
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How to find an arbitrage when the solution is not obvious (2 assets in a market)?

I am struggling to find an arbitrage in the following configuration. I know how to prove that there is an arbitrage (using the fundamental theorem of asset pricing). So I ve proven there is an ...
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Boyles Model for Trinomial Tree

I know that the risk neutral probabilities in Boyle's Model for the Trinomial Tree by recombining where $m=1, u.d=1$ and $u=e^{\lambda\sigma \Delta t}$ $p_u=\frac{u(V+M^2-M)-(M-1)}{(u^2-1)(u-1)}$ ...