Risk Management in Investment Decisions. Real Options Approach

Business & Finance, Finance & Investing, Finance
Cover of the book Risk Management in Investment Decisions. Real Options Approach by Asen Kolaksazov, GRIN Verlag
View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart
Author: Asen Kolaksazov ISBN: 9783656957454
Publisher: GRIN Verlag Publication: May 8, 2015
Imprint: GRIN Verlag Language: English
Author: Asen Kolaksazov
ISBN: 9783656957454
Publisher: GRIN Verlag
Publication: May 8, 2015
Imprint: GRIN Verlag
Language: English

Master's Thesis from the year 2012 in the subject Business economics - Investment and Finance, grade: Merit, University of Portsmouth (Business School), course: Masterarbeit - Risk Management, language: English, abstract: Numerous managers associate uncertainty with a bad outcome which should be averted. This thesis' aim is to provide the opposite view. This dissertation will reveal the strategic potential hidden in each investment. If one firm is on the right track, it could obtain profit from the uncertainty. Uncertainty could generate value and capture a market share. Real option approach will present the way how this key aspect could be evaluated. The roots of the real option approach are derived from the emblematic formula for the finance world of Fischer Black, Robert Merton and Myron Scholes. The revolutionary in their work is that complex contracts could be evaluated. The option-pricing theory take unalterable place not only in financial but also in the real investments. In addition to this, the real option approach becomes a very powerful tool for managing the real assets. This approach could be used in a wide spectrum of managing action. For all the managers who associate uncertainty and risk with a bad aftermath, the real option approach offers a solution for their worries and could advise them with an appropriate way to operate an investment (Amram, 1999, p. vii). In this work would be made practical as well as theoretical overarching from financial to real options. Chapter 6 is very constructive and useful for future research purposes, because it is suitable contribution to risk management analysis, and it uses a combination of volatility with option pricing, which can calculate more precisely the project risk.

View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart

Master's Thesis from the year 2012 in the subject Business economics - Investment and Finance, grade: Merit, University of Portsmouth (Business School), course: Masterarbeit - Risk Management, language: English, abstract: Numerous managers associate uncertainty with a bad outcome which should be averted. This thesis' aim is to provide the opposite view. This dissertation will reveal the strategic potential hidden in each investment. If one firm is on the right track, it could obtain profit from the uncertainty. Uncertainty could generate value and capture a market share. Real option approach will present the way how this key aspect could be evaluated. The roots of the real option approach are derived from the emblematic formula for the finance world of Fischer Black, Robert Merton and Myron Scholes. The revolutionary in their work is that complex contracts could be evaluated. The option-pricing theory take unalterable place not only in financial but also in the real investments. In addition to this, the real option approach becomes a very powerful tool for managing the real assets. This approach could be used in a wide spectrum of managing action. For all the managers who associate uncertainty and risk with a bad aftermath, the real option approach offers a solution for their worries and could advise them with an appropriate way to operate an investment (Amram, 1999, p. vii). In this work would be made practical as well as theoretical overarching from financial to real options. Chapter 6 is very constructive and useful for future research purposes, because it is suitable contribution to risk management analysis, and it uses a combination of volatility with option pricing, which can calculate more precisely the project risk.

More books from GRIN Verlag

Cover of the book Instrumente und Umsetzung von Corporate Social Responsibility by Asen Kolaksazov
Cover of the book Die Architektur des Islam by Asen Kolaksazov
Cover of the book Neue Perspektiven der Digitalen Spaltung - Eine Stellungnahme zu aktuellen Befunden by Asen Kolaksazov
Cover of the book Das Insolvenzverfahren des Swissair-Konzerns by Asen Kolaksazov
Cover of the book Die Studienreform mit Bachelor und Master - Umsetzung und Entwicklungen by Asen Kolaksazov
Cover of the book E-Fulfillment und E-Commerce. Grundlagen, Prozesse und Probleme by Asen Kolaksazov
Cover of the book Evolutionäre Algorithmen in der Spracherkennung by Asen Kolaksazov
Cover of the book Die exegenetischen und hermeneutischen Elemente von Lukas 10, 35-40 by Asen Kolaksazov
Cover of the book EC Competition Law - The Essential Facilities Doctrine by Asen Kolaksazov
Cover of the book Ökonomik des Klimawandels: Kosten und Nutzen by Asen Kolaksazov
Cover of the book Sammlung diverser Berichte - Band V: Bereitschaftsdienstanalyse an einem Kreiskrankenhaus über alle med. Bereiche by Asen Kolaksazov
Cover of the book Entering the Wine Industry in China by Asen Kolaksazov
Cover of the book Herstellen eines geraden Eckblattes (Unterweisung Zimmerer) by Asen Kolaksazov
Cover of the book Die Prüfung des Liquiditätsrisikos bei Kreditinstituten by Asen Kolaksazov
Cover of the book Stadt des Wissens - Stadt der sozialen Spaltung? by Asen Kolaksazov
We use our own "cookies" and third party cookies to improve services and to see statistical information. By using this website, you agree to our Privacy Policy