Advanced semi-analytical techniques for the q-fractional Ivancevic option pricing model
This study investigates the q-fractional Ivancevic option pricing model using two advanced semi-analytical methods: the q-Laplace Residual Power Series Method (q-LRPSM) and the q-Homotopy Analysis Method (q-HAM). The q-LRPSM is introduced and adapted for the first time to solve q-fractional partial...
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| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
Elsevier
2025-10-01
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| Series: | Ain Shams Engineering Journal |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S2090447925003867 |
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| Summary: | This study investigates the q-fractional Ivancevic option pricing model using two advanced semi-analytical methods: the q-Laplace Residual Power Series Method (q-LRPSM) and the q-Homotopy Analysis Method (q-HAM). The q-LRPSM is introduced and adapted for the first time to solve q-fractional partial differential equations, offering accurate and efficient approximate solutions through a power series approach. The q-HAM builds on the traditional HAM by constructing a homotopy between an initial guess and the exact solution. Numerical simulations confirm the effectiveness and accuracy of both methods across various q-values and time steps, with 2D and 3D visualizations highlighting their rapid convergence. The study demonstrates that these methods provide a powerful framework for solving complex models in financial mathematics and applied sciences. |
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| ISSN: | 2090-4479 |