Real Options Valuation

Real Options Valuation

Version: 3.0

Shareware

Excel template to quantify investment and divestment strategies.


Downloadzip
Downloadzip
Download

Real Options Valuation overview

The Real Options Valuation template encompasses a suite of option pricing tools to quantify the embedded strategic value for a range of investment scenarios. Traditional discounted cash flow investment analysis will only accept an investment if the returns on the project exceed the hurdle rate. While this is a worthwhile exercise, it fails to consider the myriad of strategic options that are associated with many investments. This model provides the ability to identify what options might exist in your proposal and the tools to estimate the quantification of them. The real options valuation template combines ease and flexibility of input with embedded help prompts to assist with selecting the correct option valuation model for the investment decision. Modified Black Scholes option pricing models are provided to value the options to delay, expand or abandon proposed of existing business streams or investments. An unlimited branch binomial tree builder model can be employed to evaluate complex strategic options with multiple stages. The Nash equilibrium Game Theory option model evaluates market entry strategies in a competitive environment with clear results on whether to lead, follow or enter the market simultaneously with competitors. Historical investment and/or industry risk profiles can be utilized across real option valuation models as a proxy of risk for the analyzed investment.


What's new in version 3.0


Information


License

Shareware

Size

142 KB

Downloads

Shareware

Developer's website

https://www.business-spreadsheets.com/realopt.htm

App requirements

  • Intel 64
  • Intel 32
  • PPC 64
  • PPC 32
  • Mac OS X 10.1.5 or later
  • Excel 2004 or Excel 2011
  • Leave a Reply

    Your email address will not be published. Required fields are marked *