Question: Give an example of a single period model, with 3 assets including the risk-free asset, as well as a contingent claim, so that the replicating
Give an example of a single period model, with 3 assets including the risk-free asset, as well as a contingent claim, so that the replicating portfolio exists but is not unique. By an example I mean writing down the price trees' of all assets with explicit numbers. Give an example of a single period model, with 3 assets including the risk-free asset, as well as a contingent claim, so that the replicating portfolio exists but is not unique. By an example I mean writing down the price trees' of all assets with explicit numbers
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