/rust-stockoption-binomial-tree

Basic Binomial model tree output for stock options written in Rust

Primary LanguageRust

Binomial Tree Model in Rust

This provides a basic Binomial finance model for output calculations of Stock Options. This does work but I'd like to make it nicer and put it into rust crates as a library.

What is a Binomial Model in Finance?

(from comments in code)

I'm not going to get into the actual weeds of real Financial Quantitative Analysis or the general "what/why" it happens the way it does but in short form-

Binomials are one of many mathematical models being used to price certain securities; based on derivative financial instruments.

This can also be referred to in plain investor English as Delta Hedging(...aka just good old fashioned Arbitrage, aka a Continuous Delta Hedge formula, and aka...Yeah actually thats it! Super easy to remember!

Delta Neutral wiki

Binomial Options Pricing Model wiki

There are many other strategies availabile - this is just a commonly used one for US options.

Rust? Why not Python?

This is the simplest way I could come up with doing this in Rust, and after sometime you have to change it up a little :)

Happy coding, and may all your options strategies be scalable.

Always remember- even the smartest analyst on Wall Street truly has no clue which way options especially will go. Yes, That is absolutely financial advice