Show that the optimal modelfree lower bound for d is always


Assume the interest rate is zero. Let S, be the price of a non-dividend paying stock, A derivative, D, pays f(ST) at time T. Show that the optimal modelfree lower bound for D is always less than or equal to f (So). Formulate and prove an analogous result for upper bounds.

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Engineering Mathematics: Show that the optimal modelfree lower bound for d is always
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