Trinomial Lattice American Option Calculator

Price American options using trinomial lattice model with three price movements per step. Trinomial model converges faster than binomial and is more accurate for barrier options.

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$ Finance Disclaimer: These calculators are for educational and illustrative purposes only. Results do not constitute financial advice. Consult a licensed financial advisor before making investment or borrowing decisions.
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How It Works

Price American options using trinomial lattice model with three price movements per step. Trinomial model converges faster than binomial and is more accurate for barrier options

Each component has a specific meaning:

  • Trinomial lattice model — The trinomial lattice model recorded for the scenario being assessed.

Note: Interpret the trinomial lattice option result against the thresholds and context described above.

How to Use

Enter the trinomial lattice model for the scenario you are assessing. Price American options using trinomial lattice model with three price movements per step. Trinomial model converges faster than binomial and is more accurate for barrier options. Use the trinomial lattice option result to inform your calculation.

Frequently Asked Questions