PAT - The Payoff Advantage Tool
Best of Two Assets

Asset 1: Best of Two Assets: Asset 2 and Asset 3 in terms of Asset 1.

Formula: H1 = max(max(s12, s13) - X, 0)

Asset 2: unidentified Asset 3: unidentified

Again, here is another example of a truly multi-asset option. Once again, PAT instantly identifies financially equivalent alternative payoffs.

Previous PageIndexNext Page