Skip to main content

Posts

Showing posts from 2020

Operation Aurora

Cyber-attack incidents are increasing day by day in the computer world. A couple of months ago US accused China of Hacking COVID 19 research data. In June 2020 Australia hit by massive cyber-attack by Chinese hackers. So, these types of cyber-attacks are got a very long history. However, when it comes to the topic of Cyber-attack, we should know the massive attack from China in 2010 that completely frightened the world. Operation Aurora:-  A  series of cyber-attack from China took place in the year of 2010. The attack majorly Targeted the USA private sector companies such as Google, Adobe, Yahoo, Morgan Stanley, and more than 20 companies. Let's take you to the purpose of Operation Aurora. According to McAfee, the main  goal  of the attack was to gain access and potentially modify source code repositories at these high tech, security, and defense contractor companies.  So, what happened exactly?. That was on 12th Jan 2010 Google revealed...

Black-Scholes Model

Black-Scholes Model and Present-day Economy Black-Scholes Model: - The model is used to determine the fair price value for a call or a put the option is called the Black Scholes Model. The Black-Scholes pricing model is used by the option traders to buy options. This call or a put option are based on six variables as under Volatility Type of options Underlying stock price Time Strike price Risk-free rate Introduction to the Black-Scholes formula: - Let’s look into the Black  Scholes  model formula and how it works in options. V(C)=S_o*N(d_1 )-(E*e^(-rt) )*N(d_2) V(P)=V(C)+( 〖 E*e 〗 ^(-rt))-S_0 Here, C = price of a call option P = price of a put option Ln = Natural Log So = price of the underlying asset/ current stock price E  = strike price of the option/Exercise price r = rate of interest/risk-free interest rate based on continues compounding  e^(-rt) =  A factor for determining the present value/PV factor t...