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Future work

Stable today vs exploratory next

Stable today: typed vanilla pricing engines, implied-vol and surface tooling, SVI/eSSVI workflows, local-vol/PDE diagnostics, README freshness checks, docs builds, and CI-executed notebooks.

Exploratory next: broader stochastic-vol calibration, richer hedging experiments, and more portfolio/reporting workflows.

What is already solid

  • Public API and packaging
  • typed package installable on Python 3.12+
  • recommended instrument workflow plus convenience and curves-first paths
  • Validation and CI
  • README freshness enforced in CI
  • notebook execution with pytest -q demos --nbmake
  • headless notebook runs via MPLBACKEND=Agg
  • docs build and visual artifact generation in GitHub Actions
  • Portfolio-ready numerics
  • SVI fitting and repair
  • eSSVI projection and seam diagnostics
  • local-vol extraction and PDE repricing checks

Active polish

  • keep option_pricing/__init__.py exports stable and minimal
  • continue improving install ergonomics outside editable local workflows
  • keep the published proof pages aligned with the latest visual bundles and notebook outputs

Research roadmap

Capstone 3 - Stochastic vol + calibration (Heston)

  • Heston characteristic-function pricer
  • Monte Carlo cross-check
  • calibration objective, constraints, and stability checks
  • notebook on surface fit quality and parameter stability

Capstone 4 - Hedging realism

  • delta/vega hedging simulator
  • misspecification experiments (hedge under one model, simulate under another)
  • P&L attribution and reporting notebook

Suggested GitHub labels

  • Capstones: capstone:1, capstone:2, capstone:3, capstone:4
  • Type: type:bug, type:enhancement, type:docs, type:chore
  • Area: area:pricing, area:vol, area:diagnostics, area:ci, area:docs
  • Priority: priority:p0, priority:p1, priority:p2

Release tags

  • v0.1.x: BS/MC/tree baseline
  • v0.2.x: implied vol solver hardened
  • v0.3.x: vol surface + diagnostics
  • v0.4.x: local vol + PDE
  • v0.5.x: Heston + calibration
  • v1.0.0: stable API + polished docs + end-to-end demos