{"product_id":"a-market-model-for-pricing-inflation-indexed-bonds-von-ibrahim-ethem-guney","title":"A Market Model For Pricing Inflation Indexed Bonds","description":"\u003cp\u003eProtection against inflation is an essential part of the today's financial markets, particularly in high-inflation economies. Hence, nowadays inflation indexed instruments are being increasingly popular in the world financial markets. In this study, we focus on pricing of the inflation-indexed bonds which are the unique inflation-indexed instruments traded in the Turkish bond market. Firstly, we review the Jarrow-Y¿ld¿r¿m model which deals with pricing of the inflation-indexed instruments within the HJM framework. Then, we propose a pricing model that is an extension of the Jarrow-Y¿ld¿r¿m model. The model allows instantaneous forward  rates, inflation index and bond prices to be driven by both a standard Brownian motion and a finite number of Poisson processes. A closed-form pricing formula for an European call option on the inflation index is also derived.\u003c\/p\u003e\u003cdiv class=\"aw-variant-hidden-subtitle-div\" id=\"aw-variant-subtitle-9783846509050\"\u003e\u003ch3\u003ePricing Inflation Indexed Bonds With Jumps Incorporation\u003c\/h3\u003e\u003c\/div\u003e","brand":"Autorenwelt Shop","offers":[{"title":"Softcover - 9783846509050","offer_id":39494556385373,"sku":"9783846509050","price":49.0,"currency_code":"EUR","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0940\/0622\/files\/20bb0c88-9153-4a8c-887a-ca1d2b4407dd.jpg?v=1757742300","url":"https:\/\/shop.autorenwelt.de\/en\/products\/a-market-model-for-pricing-inflation-indexed-bonds-von-ibrahim-ethem-guney","provider":"Autorenwelt Shop","version":"1.0","type":"link"}