Abstract
In the context of financial engneering, practitioners tend to price almost every option by Black-Sholes formula or some modified ones. This means they consider f(S1T,…,SmT) to be somehow log-normally distirbuted, regardless of f. The aim of this talk is to explain this by some approximating procedure. Moreover, we will discuss the quasi pricing of compound options. Not only we give an explicit formula dor a compound option, we also introduce a concept of stationarity, which are given by the form of a integral equation. This latter problems remais unsolved.
