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Standard put-call parity formula

Description of the Standard put-call parity formula

Formula for the standard put-call parity

Formula

\[ C-P=S-E\cdot e^{-rT} \ \]

Symbols

\(C\ \)       
Value of the call
\(E\ \)       
Option strike price
\(P\ \)       
Value of the put of same expiry and strike than the call
\(r\ \)       
Continuously discounted money market rate for duration T
\(T\ \)       
Duration (in year fractions) until the option's expiry