Talk:American option

RFD discussion: June 2018–January 2019

The following discussion has been moved from Wiktionary:Requests for deletion (permalink).

This discussion is no longer live and is left here as an archive. Please do not modify this conversation, but feel free to discuss its conclusions.

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American option

Bermudan option

European option

These are not the only collocations. One can talk about American options, American calls, and American puts. Better therefore to move the definition to American as an adjective applying to financial options. The equivalent is true for Bermudan and European, as well as a range of other option types that I haven't yet added as entries (I'm holding off pending this decision, but other types include: Asian, Boston, Canary, Evergreen, Israeli, Parisian, Russian, Verde). -Stelio (talk) 11:03, 12 June 2018 (UTC)

Keep using the talk:free variable rationale. I would never look up Bermudan option under "Bermudan", and I think "Bermudan call" and "Bermudan put" are basically derived terms of Bermudan option. If keeping is not feasible, at least redirect, but we can serve our readers best by keeping, I think. --Dan Polansky (talk) 13:53, 2 July 2018 (UTC)

• Move definitions to American etc. Add redirects, sure, but don't keep the main definition at "... option". Note that "American" etc. can be used directly as adjectives:
  • 2009, John C. Hull, Options, Futures, and other Derivatives (Seventh Edition), Pearson Education, page 182:

    All of these trade on the Chicago Board Options Exchange. Most of the contracts are European. An exception is the OEX contract on the S&P 100, which is American.

  • 2009, Shih-Feng Huang and Meihui Guo, Applied Quantitative Finance (Second Edition), Springer, page 295:

    Multi-dimensional option pricing becomes an important topic in financial markets (Franker et al., 2008). Among which, the American-type derivative (e.g. the Bermudan option) pricing is a challenging problem.

  • 2010, Johnathan Mun, Modeling Risk + DVD: Applying Monte Carlo Risk Simulation, Strategic Real Options, Stochastic Forecasting, and Portfolio Optimization (Second Edition), John Wiley & Sons:

    Based on the analyses throughout the case study, it is recommended that the use of a model that assumes an ESO is European style when, in fact, the option is American style with the other exotic variables should not be permitted, as this substantially overstates compensation expenses.

-Stelio (talk) 13:52, 31 July 2018 (UTC)

No consensus to delete, after an absurdly long time for consideration. bd2412 T 02:31, 29 January 2019 (UTC)