• Title of article

    A parabolic variational inequality arising from the valuation of fixed rate mortgages

  • Author/Authors

    Yi، Fahuai نويسنده , , JIANG، LISHANG نويسنده , , BIAN، BAOJUN نويسنده ,

  • Issue Information
    روزنامه با شماره پیاپی سال 2005
  • Pages
    -360
  • From page
    361
  • To page
    0
  • Abstract
    In this paper a one-dimensional parabolic variational inequality which typically arises in option pricing of fixed rate mortgage loan is studied. The main goal is to study the properties of the free boundary. The monotonicity and C^(infinity) smoothness of free boundary are proved and its behavior near expiry is considered as well.
  • Keywords
    Hardy space , inner function , shift operator , model , subspace , Hilbert transform , admissible majorant
  • Journal title
    EUROPEAN JOURNAL OF APPLIED MATHEMATICS
  • Serial Year
    2005
  • Journal title
    EUROPEAN JOURNAL OF APPLIED MATHEMATICS
  • Record number

    108081