In financial mathematics, the implied volatility (IV) of an option contract is that value of the volatility of the underlying instrument which, when input in an option pricing model (such as Black–Scholes), will return a theoretical value equal to the current market price of said option. A non-option financial instrument that has embedded optionality, such as an interest rate cap, can also have an implied volatility. Implied volatility, a forward-looking and subjective measure, differs from historical volatility because the latter is calculated from known past returns of a security.
Le terme d'existence en soi est ambigu, il recouvre de multiples sens. Dans le langage trivial il désigne le fait d'être, d'être de manière réelle, il est ainsi utilisé dans un usage tout aussi indéterminé chez beaucoup de philosophes comme équivalent au terme d'« être ». Outre le fait d'exister, il intervient, indique le Petit Larousse, dans plusieurs expressions courantes pour signaler une durée (une longue existence), au sens de vie (être las de son existence), un mode de vie (changer d'existence), etc.
Volatility smiles are implied volatility patterns that arise in pricing financial options. It is a parameter (implied volatility) that is needed to be modified for the Black–Scholes formula to fit market prices. In particular for a given expiration, options whose strike price differs substantially from the underlying asset's price command higher prices (and thus implied volatilities) than what is suggested by standard option pricing models. These options are said to be either deep in-the-money or out-of-the-money.