(Assignment for Quality check)Consider a market with d=1 and X=X1 satisfyingdXt = sXt dWt,X0 = 1,where W is a Brownian motion process. Assume that ?? is the natural filtration of X and F=FT.
- Prove rigorously that there is only one ELMM for X.
- Find the price of the contingent claim H=X2T
- Find the price of 1/H