Asset-or-Nothing Put
Computes the price of an asset-or-nothing put: it delivers the asset itself if the price finishes below the strike, and nothing otherwise. It's the downside counterpart of the asset-or-nothing call, and together they always sum to the asset's value, because one or the other always pays. The price is simply S·N(−d1). Enter the spot price, the strike, the interest rate, the volatility and the term.
Result
—
Asset-or-Nothing Put
Computes the price of an asset-or-nothing put: it delivers the asset itself if the price finishes below the strike, and nothing otherwise. It's the downside counterpart of the asset-or-nothing call, and together they always sum to the asset's value, because one or the other always pays. The price is simply S·N(−d1). Enter the spot price, the strike, the interest rate, the volatility and the term.
Get the asset, now betting on the fall
The asset-or-nothing put completes the quartet of binary options. Its verdict is simple: if the asset finishes below the strike, you receive the asset itself; if it finishes above, you receive nothing. It's the pessimistic version of the asset-or-nothing call, which delivers the asset on the upside.
There's a beautiful symmetry here. The asset-or-nothing call pays the asset if it rises, the put pays if it falls. Since one of the two always happens, together they sum to exactly the asset's value today, trivially discounted. The price of each is the asset multiplied by the risk-neutral probability of the respective direction.
Enter the spot price, the strike, the interest rate, the volatility and the term. The tool returns the price, which is simply the asset times N(−d1). These options are theoretical bricks: combining them with the cash-or-nothings reconstructs any plain option, which helps understand the internal structure of Black-Scholes.
Related Tools
Cash-or-Nothing Put
Computes the price of a cash-or-nothing put: it pays a fixed amount if the asset finishes below the strike, and nothing otherwise. It's the downside version of the digital option, the complement of the cash-or-nothing call. The price is the payout discounted and multiplied by the risk-neutral probability of the asset finishing below the strike, Q·e^(−rT)·N(−d2). Enter the spot price, the strike, the interest rate, the term, the volatility and the payout.
Asset-or-Nothing Call
Computes the price of an asset-or-nothing call: it delivers the asset itself if the price finishes above the strike, and nothing otherwise. It's the sibling of the cash-or-nothing option, and together they decompose the plain Black-Scholes call — a call equals exactly an asset-or-nothing minus a strike's worth of cash-or-nothing. The price is simply S·N(d1). Enter the spot price, the strike, the interest rate, the volatility and the term.
Digital Call (Cash-or-Nothing)
Computes the price of a cash-or-nothing digital call option: it pays a fixed amount if the asset finishes above the strike, and nothing otherwise. The price is the discounted payout multiplied by the risk-neutral probability of finishing in the money, Q·e^(−rT)·N(d2). It's the purest form of a binary bet and the building block of many exotic structures. Enter the spot price, the strike, the interest rate, the term, the volatility and the payout.
The results provided by this tool are for general informational and educational purposes only and do not constitute professional, financial, medical, legal, tax or accounting advice. Always confirm important decisions with a qualified professional and official sources.