OptionsEQ is an equity options calculator iPhone app. The basic $0.99 version uses the Black-Scholes formula to calculate the value of European equity, currency, and index options.
We are offering the in app upgrade for free. It allows the app to utilize lattice (binomial and trinomial) and Monte Carlo methods to calculate the value of many more types of options.
Options EQ comes with over 80 examples installed from the most well-known options textbook and the ability to save and retrieve your own scenarios.
It is, however, only really useful to students and others who really understand how options pricing models can be applied. The app provides a suitable warning to discourage misuse and you will have to agree that you understand this before the app can be activated.
The use of the OptionsEQ is both simple and capable of being customized to fit a wide range of option types. The Start screen explains it all.
The OptionsEQ app has 5 tabs:
In the first “Type”, you can select the option type and the method of calculation. The options are limited in the basic version, but expand for the upgraded version.
In the second “Values” tab you can select, using the iPhone picker interface, the critical option valuation parameters and then run the valuation.
In the third tab “Results”, fuller results are presented including all the “greeks”.
The fourth “Settings” tab allows you to customize the pickers in “Values” so that you can switch between many options types without the overhead of retyping all your parameters.
This is possible because in the fifth tab, “Scenarios”, you can save and recall your own scenarios – including the relevant picker settings. This allows you to switch between an option on an index with values in the thousands (such as the Dow Jones or the FTSE) to currency options with values in the pennies, with just a single click.
"I am impressed with the app's ability to tackle American or barrier options and to include dividends. This is not just your basic option calculator!"
