IS THE BLACK–SCHOLES MODEL GOOD ENOUGH FOR RETAIL INVESTORS IN CHINA?
This study answers a simple question for Chinese investors, especially Chinese retail investors: Is the Black–Scholes model good enough for them to make investment decisions? Using the absolute out-of-sample error as a measure of model efficiency, I find that the volume-weighted mean absolute out-o...
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Format: | Article |
Language: | English |
Published: |
Tuwhera Open Access Publisher
2022-12-01
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Series: | Applied Finance Letters |
Online Access: | https://ojs.aut.ac.nz/applied-finance-letters/article/view/589 |