International records / OpenAlex research

Option Pricing: The Black-Scholes Model and Its Applicability in the Nigerian Capital Market

This paper examines the theoretical underpinnings of the Black-Scholes model within the context of the options market. It evaluates its assumptions and highlights and then discusses its relevance, applicability and limitations in the Nigerian financial market. Given the absence of any options trading on the Nigerian Exchange market, the paper avers that it is desirable for the regulatory authorities in Nigeria take steps to establish the options market segment within the Nigerian Exchange Group (NGX) with a view to enhancing and expanding activities in the market and provide the much-needed av…