OptionComponent.java
package org.drip.product.option;
/*
* -*- mode: java; tab-width: 4; indent-tabs-mode: nil; c-basic-offset: 4 -*-
*/
/*!
* Copyright (C) 2020 Lakshmi Krishnamurthy
* Copyright (C) 2019 Lakshmi Krishnamurthy
* Copyright (C) 2018 Lakshmi Krishnamurthy
* Copyright (C) 2017 Lakshmi Krishnamurthy
* Copyright (C) 2016 Lakshmi Krishnamurthy
* Copyright (C) 2015 Lakshmi Krishnamurthy
* Copyright (C) 2014 Lakshmi Krishnamurthy
*
* This file is part of DROP, an open-source library targeting analytics/risk, transaction cost analytics,
* asset liability management analytics, capital, exposure, and margin analytics, valuation adjustment
* analytics, and portfolio construction analytics within and across fixed income, credit, commodity,
* equity, FX, and structured products. It also includes auxiliary libraries for algorithm support,
* numerical analysis, numerical optimization, spline builder, model validation, statistical learning,
* and computational support.
*
* https://lakshmidrip.github.io/DROP/
*
* DROP is composed of three modules:
*
* - DROP Product Core - https://lakshmidrip.github.io/DROP-Product-Core/
* - DROP Portfolio Core - https://lakshmidrip.github.io/DROP-Portfolio-Core/
* - DROP Computational Core - https://lakshmidrip.github.io/DROP-Computational-Core/
*
* DROP Product Core implements libraries for the following:
* - Fixed Income Analytics
* - Loan Analytics
* - Transaction Cost Analytics
*
* DROP Portfolio Core implements libraries for the following:
* - Asset Allocation Analytics
* - Asset Liability Management Analytics
* - Capital Estimation Analytics
* - Exposure Analytics
* - Margin Analytics
* - XVA Analytics
*
* DROP Computational Core implements libraries for the following:
* - Algorithm Support
* - Computation Support
* - Function Analysis
* - Model Validation
* - Numerical Analysis
* - Numerical Optimizer
* - Spline Builder
* - Statistical Learning
*
* Documentation for DROP is Spread Over:
*
* - Main => https://lakshmidrip.github.io/DROP/
* - Wiki => https://github.com/lakshmiDRIP/DROP/wiki
* - GitHub => https://github.com/lakshmiDRIP/DROP
* - Repo Layout Taxonomy => https://github.com/lakshmiDRIP/DROP/blob/master/Taxonomy.md
* - Javadoc => https://lakshmidrip.github.io/DROP/Javadoc/index.html
* - Technical Specifications => https://github.com/lakshmiDRIP/DROP/tree/master/Docs/Internal
* - Release Versions => https://lakshmidrip.github.io/DROP/version.html
* - Community Credits => https://lakshmidrip.github.io/DROP/credits.html
* - Issues Catalog => https://github.com/lakshmiDRIP/DROP/issues
* - JUnit => https://lakshmidrip.github.io/DROP/junit/index.html
* - Jacoco => https://lakshmidrip.github.io/DROP/jacoco/index.html
*
* Licensed under the Apache License, Version 2.0 (the "License");
* you may not use this file except in compliance with the License.
*
* You may obtain a copy of the License at
* http://www.apache.org/licenses/LICENSE-2.0
*
* Unless required by applicable law or agreed to in writing, software
* distributed under the License is distributed on an "AS IS" BASIS,
* WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
*
* See the License for the specific language governing permissions and
* limitations under the License.
*/
/**
* <i>OptionComponent</i> extends ComponentMarketParamRef and provides the following methods:
*
* <br><br>
* <ul>
* <li>
* Get the component's initial notional, notional, and coupon.
* </li>
* <li>
* Get the Effective date, Maturity date, First Coupon Date.
* </li>
* <li>
* Set the market curves - discount, TSY, forward, and Credit curves.
* </li>
* <li>
* Retrieve the component's settlement parameters.
* </li>
* <li>
* Value the component using standard/custom market parameters.
* </li>
* <li>
* Retrieve the component's named measures and named measure values.
* </li>
* <li>
* Retrieve the Underlying Fixed Income Product, Day Count, Strike, Calendar, and Manifest Measure.
* </li>
* </ul>
*
* <br><br>
* <ul>
* <li><b>Module </b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/ProductCore.md">Product Core Module</a></li>
* <li><b>Library</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/FixedIncomeAnalyticsLibrary.md">Fixed Income Analytics</a></li>
* <li><b>Project</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/src/main/java/org/drip/product/README.md">Product Components/Baskets for Credit, FRA, FX, Govvie, Rates, and Option AssetClasses</a></li>
* <li><b>Package</b> = <a href = "https://github.com/lakshmiDRIP/DROP/tree/master/src/main/java/org/drip/product/option/README.md">Options on Fixed Income Components</a></li>
* </ul>
* <br><br>
*
* @author Lakshmi Krishnamurthy
*/
public abstract class OptionComponent extends org.drip.product.definition.CalibratableComponent
{
private java.lang.String _strCode = "";
private java.lang.String _strName = "";
private double _dblStrike = java.lang.Double.NaN;
private java.lang.String _strManifestMeasure = "";
private double _dblNotional = java.lang.Double.NaN;
private org.drip.product.definition.Component _comp = null;
private org.drip.param.valuation.CashSettleParams _csp = null;
private org.drip.product.params.LastTradingDateSetting _ltds = null;
protected OptionComponent (
final java.lang.String strName,
final org.drip.product.definition.Component comp,
final java.lang.String strManifestMeasure,
final double dblStrike,
final double dblNotional,
final org.drip.product.params.LastTradingDateSetting ltds,
final org.drip.param.valuation.CashSettleParams csp)
throws java.lang.Exception
{
if (null == (_strName = strName) || _strName.isEmpty() || null == (_comp = comp) || null ==
(_strManifestMeasure = strManifestMeasure) || _strManifestMeasure.isEmpty() ||
!org.drip.numerical.common.NumberUtil.IsValid (_dblStrike = dblStrike) ||
!org.drip.numerical.common.NumberUtil.IsValid (_dblNotional = dblNotional))
throw new java.lang.Exception ("OptionComponent ctr: Invalid Inputs");
_csp = csp;
_ltds = ltds;
}
/**
* Retrieve the Underlying Component
*
* @return The Underlying Component
*/
public org.drip.product.definition.Component underlying()
{
return _comp;
}
/**
* Retrieve the Manifest Measure on which the Option's Strike is quoted
*
* @return The Manifest Measure on which the Option's Strike is quoted
*/
public java.lang.String manifestMeasure()
{
return _strManifestMeasure;
}
/**
* Retrieve the Strike
*
* @return The Strike
*/
public double strike()
{
return _dblStrike;
}
/**
* Retrieve the Notional
*
* @return The Notional
*/
public double notional()
{
return _dblNotional;
}
/**
* Retrieve the Option Exercise Date
*
* @return The Option Exercise Date
*/
public org.drip.analytics.date.JulianDate exerciseDate()
{
return _comp.effectiveDate();
}
/**
* Retrieve the Option Last Trading Date Setting
*
* @return The Option Last Trading Date Setting
*/
public org.drip.product.params.LastTradingDateSetting lastTradingDateSetting()
{
return _ltds;
}
@Override public void setPrimaryCode (
final java.lang.String strCode)
{
_strCode = strCode;
}
@Override public java.lang.String primaryCode()
{
return _strCode;
}
@Override public java.lang.String name()
{
return _strName;
}
@Override public org.drip.analytics.support.CaseInsensitiveTreeMap<java.lang.String> couponCurrency()
{
return _comp.couponCurrency();
}
@Override public java.lang.String payCurrency()
{
return _comp.payCurrency();
}
@Override public java.lang.String principalCurrency()
{
return _comp.payCurrency();
}
@Override public org.drip.analytics.date.JulianDate effectiveDate()
{
return null;
}
@Override public org.drip.analytics.date.JulianDate maturityDate()
{
return exerciseDate();
}
@Override public org.drip.analytics.date.JulianDate firstCouponDate()
{
return _comp.effectiveDate();
}
@Override public double initialNotional()
{
return _dblNotional;
}
@Override public double notional (
final int dblDate1)
{
return _dblNotional;
}
@Override public double notional (
final int dblDate1,
final int dblDate2)
{
return _dblNotional;
}
@Override public int freq()
{
return _comp.freq();
}
@Override public org.drip.state.identifier.EntityCDSLabel creditLabel()
{
return _comp.creditLabel();
}
@Override public
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.ForwardLabel>
forwardLabel()
{
return _comp.forwardLabel();
}
@Override public
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.OTCFixFloatLabel>
otcFixFloatLabel()
{
return _comp.otcFixFloatLabel();
}
@Override public org.drip.state.identifier.FundingLabel fundingLabel()
{
return _comp.fundingLabel();
}
@Override public org.drip.state.identifier.GovvieLabel govvieLabel()
{
return _comp.govvieLabel();
}
@Override public org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.FXLabel>
fxLabel()
{
return _comp.fxLabel();
}
@Override public
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.VolatilityLabel>
volatilityLabel()
{
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.ForwardLabel>
mapForwardLabel = forwardLabel();
if (null == mapForwardLabel || 0 == mapForwardLabel.size()) return null;
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.VolatilityLabel>
mapVolatilityLabel = new
org.drip.analytics.support.CaseInsensitiveTreeMap<org.drip.state.identifier.VolatilityLabel>();
for (java.util.Map.Entry<java.lang.String, org.drip.state.identifier.ForwardLabel> forwardLabelEntry
: mapForwardLabel.entrySet())
mapVolatilityLabel.put (forwardLabelEntry.getKey(),
org.drip.state.identifier.VolatilityLabel.Standard (forwardLabelEntry.getValue()));
return mapVolatilityLabel;
}
@Override public org.drip.analytics.output.CompositePeriodCouponMetrics couponMetrics (
final int iAccrualEndDate,
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs)
{
return null;
}
@Override public java.util.List<org.drip.analytics.cashflow.CompositePeriod> couponPeriods()
{
return null;
}
@Override public org.drip.param.valuation.CashSettleParams cashSettleParams()
{
return _csp;
}
@Override public org.drip.product.calib.ProductQuoteSet calibQuoteSet (
final org.drip.state.representation.LatentStateSpecification[] aLSS)
{
try {
return new org.drip.product.calib.VolatilityProductQuoteSet (aLSS);
} catch (java.lang.Exception e) {
e.printStackTrace();
}
return null;
}
@Override public org.drip.analytics.support.CaseInsensitiveTreeMap<java.lang.Double> calibMeasures (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp)
{
return null;
}
@Override public org.drip.state.estimator.PredictorResponseWeightConstraint forwardPRWC (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp,
final org.drip.product.calib.ProductQuoteSet pqs)
{
return null;
}
@Override public org.drip.state.estimator.PredictorResponseWeightConstraint fundingPRWC (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp,
final org.drip.product.calib.ProductQuoteSet pqs)
{
return null;
}
@Override public org.drip.state.estimator.PredictorResponseWeightConstraint fundingForwardPRWC (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp,
final org.drip.product.calib.ProductQuoteSet pqs)
{
return null;
}
@Override public org.drip.state.estimator.PredictorResponseWeightConstraint fxPRWC (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp,
final org.drip.product.calib.ProductQuoteSet pqs)
{
return null;
}
@Override public org.drip.state.estimator.PredictorResponseWeightConstraint govviePRWC (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp,
final org.drip.product.calib.ProductQuoteSet pqs)
{
return null;
}
@Override public org.drip.numerical.differentiation.WengertJacobian jackDDirtyPVDManifestMeasure (
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp)
{
return null;
}
@Override public org.drip.numerical.differentiation.WengertJacobian manifestMeasureDFMicroJack (
final java.lang.String strMainfestMeasure,
final org.drip.param.valuation.ValuationParams valParams,
final org.drip.param.pricer.CreditPricerParams pricerParams,
final org.drip.param.market.CurveSurfaceQuoteContainer csqs,
final org.drip.param.valuation.ValuationCustomizationParams vcp)
{
return null;
}
}