Making an accurate company valuation is the cornerstone of making a sound investment decision, but one factor that is often overlooked (and sometimes even overvalued) is the real-options that a company may have. In this Research Foundation monograph, the authors explore real-options valuation - looking at these models vis-a-vis traditional valuation models, providing examples and simple case studies, and examining the criticisms and limitations of real-options valuation.
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Don M. Chance, CFA, is the First Union Professor of Financial Risk Management and Director of the Finance Department's doctoral program. His articles have appeared in many academic and professional journals. He is associate editor of The Journal of Derivatives, The Journal of Alternative Investments, and The Financial Review and is the author of An Introduction to Derivatives, 5e, and Essays in Derivatives. Professor Chance has extensive experience as an instructor in professional development programs, a consultant, and as a speaker before practitioner groups, and he serves as an advisor to the Chicago Board of Trade and New York Mercantile Exchange.
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