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An Unbiased View of Implied volatility

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This measure doesn't account to the volatility σ on the underlying asset. Not like earlier inputs, volatility is not directly observable from industry data, but should alternatively be computed in some product, mainly utilizing ATM implied volatility within the Black–Scholes design. Dispersion is proportional to volatility, so standardizing by volatility https://premium46780.isblog.net/top-latest-five-in-the-money-urban-news-44058371

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