What volatility smile is likely to be observed when

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What volatility smile is likely to be observed when - both

What volatility smile is likely to be observed when:

(a) Both tails of the stock price distribution are less heavy than those of the lognormal distribution?

(b) The right tail is heavier, and the left tail is less heavy, than that of a lognormal distribution?

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Finance Basics: What volatility smile is likely to be observed when - both

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Finance Basics: What volatility smile is likely to be observed when - both

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