CFA Level I Derivatives - Put-Call Parity

This is an excerpt from our comprehensive animation library for CFA Level I candidates. For more materials to help you ace the CFA Level I Exam, head on down to prepnuggets.com.

[@robinchan1612]

I think this video should add some basic explanation to those English letter, it would be more helpful.
Since I just google it, let me share here:
Put call parity equation: C + X/(1+RFR)^T =P +S
C= Price of European call today
X= Strike Price
RFR= Risk Free Rate, some use letter "r "instead or RFR
T= Time to expiration (# of days expiration /365)
P= Price of European put today
S= Price of underlying stock today

[@smitshah415]

Yes....This is clear the concept

[@dikshasvagarwal]

By far the best explanation for call put parity!!

[@keletsoselala404]

Wonderful and clear explanation! Thanks

[@tantricsurfer]

Best explanation I've found!

[@phucho1641]

Great! Only understand put call parity from your video. Thank you!

[@avegaughtastiffy1654]

Phuc Mi See Lee

[@zhimouxiang3176]

Awesome! Love you so much!

[@chasefoster1642]

Really great video explanation!

[@rococerr9344]

Great explanation, thank you!

[@aaroacademy]

very informative video. Thank you for uploading this one.

[@kimmynaris8547]

Very comprehensive.

[@mailowdisaster123]

Thats golden. Lovely explanation!

[@nourah8695]

It’s very good, thank you

[@aguelandoingrosso67]

Thank yoou so much!!!

[@jiangjianguo3770]

This is gooooooooooooood

[@ironmedhelm]

Very clear explanation.

[@PrepNuggets]

Glad you think so!

[@Piyush_Jain]

❤

[@wenwenbai]

The intro music actually gives me headache every time i click on your videos. You make great contents and I appreciate your help through my exam period. But please, just cut the intro music. Thanks.