Bandingkan kaedah

	Volatiliti Lokal (Dupire)	Penghargaan Crank-Nicolson
Bidang	Kewangan Kuantitatif	Kewangan Kuantitatif
Keluarga	Regression model	Machine learning
Tahun asal	1994	1947
Pengasas	Bruno Dupire	John Crank and Phyllis Nicolson
Jenis	Equity/FX Model	PDE Solver
Sumber perintis	Dupire, B. (1994). Pricing with a smile. Risk Magazine, 7(1), 18-20.	Crank, J., & Nicolson, P. (1947). A practical method for numerical evaluation of solutions of partial differential equations of the heat-conduction type. Mathematical Proceedings of the Cambridge Philosophical Society, 43(1), 50-67.
Alias	Deterministic Volatility Function, DVF	CN Method, Implicit Finite Difference
Berkaitan	4	3
Ringkasan	Dupire's local volatility model (1994) is a deterministic framework that extracts a term and strike-dependent volatility function from market option prices. Unlike constant volatility, local volatility perfectly fits the observed implied volatility smile and is implemented via finite difference methods for European and American option pricing.	The Crank-Nicolson method is a widely-used implicit finite difference scheme for solving PDEs in option pricing. It provides second-order accuracy in both space and time, unconditional stability, and can efficiently price derivatives with early exercise features (American options) or complex boundary conditions.