Put Call Parity - Deepstash
Put Call Parity

Put Call Parity

Put-call parity is a fundamental relationship in european options pricing that states that the price of a put option, the price of a call option, the underlying asset price, and the strike price are all related. The formula for put-call parity is:

C + K = P + F

C is the price of the call option

K is the strike price of the option

P is the price of the put option

F is the price of the underlying asset

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