------------------------------------------------------------------------ Wolfgang-Pauli-Institut ------------------------------------------------------------------------ Mo., 23.06.2014, 17:00, WPI seminar room Uni Wien, 1090 Wien, Oskar-Morgenstern-Platz 1, 8th floor Juraj Kapasny (Masaryk University Brno & Univ. of Vienna) "Application of PDEs in option pricing: Black Scholes formula and how it failed" (Projektseminar 'Angewandte Analysis', Markowich & Mauser) Juraj will present a short basic explanation of mathematics for pricing options, the Black Scholes formula, and how it nearly triggered a crash when the LTCM fund collapsed in 1999 that was based on Black-Scholes formula and managed by Scholes himself. ------------------------------------------------------------------------