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Zhang, Z. Q., & Tian, X. M. (2020). A Probe into the Impact of Securities Short-Selling Mechanism on the Asymmetric Response of Stock Market Volatility: Based on the Perspective of Analysts’ Concerns. Shanghai Finance, 476, 20-27+58.

has been cited by the following article:

• TITLE: Empirical Analysis of Potential Put-Call Parity Arbitrage Opportunities with Particular Focus on the Shanghai Stock Exchange 50 Index

  AUTHORS: Elmar Steurer, Ernst J. Fahling, Jiali Du

  KEYWORDS: Put-Call-Parity, Put-Call-Arbitrage, Volatility Indices, Volatility Smile, Volatility Trading

  JOURNAL NAME: Journal of Financial Risk Management, Vol.11 No.1, January 29, 2022

  ABSTRACT: Put-Call-Parity is a major cornerstone of the option pricing theory. The equation provides an answer to the equilibrium of the option market. It tells us what the right call option price should be assuming put price, actual stock price, risk free rate and maturity. The call price depends on these parameters. No arbitrage opportunities are possible if the equilibrium equation is met. In financially well developed countries and regions the put-call-parity holds and allows no arbitrage opportunities except in abnormal market conditions. This paper aims to analyse the put-call-parity in China for a certain period of time. It reviews if arbitrage opportunities can be identified. It shows that the put-call-parity dominates the option market in China as well despite shorter periods in the development of the financial markets and allows no arbitrage opportunities.