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Standard Trinomial Tree Setup
Propagate standard trinomial equity tree
Setup a standard trinomial equity options tree model.
Functions
stttimespec | Specify time structure for standard trinomial tree |
stttree | Build standard trinomial tree |
Topics
- Understanding Equity Trees
Financial Instruments Toolbox™ supports five types of recombining tree models to represent the evolution of stock prices.
- Pricing Equity Derivatives Using Trees
Pricing functions calculate the price of any set of supported instruments based on a binary equity price tree, an implied trinomial price tree, or a standard trinomial tree.
- Use treeviewer to Examine HWTree and PriceTree When Pricing European Callable Bond
This example demonstrates how to use
treeviewer
to examine tree information for a Hull-White tree when you price a European callable bond.