Showing posts with label Analysis. Show all posts
Showing posts with label Analysis. Show all posts

Monday, April 11, 2011

“Excel Calculate Third Friday of Every Month”

It was harder to find the Excel formula for calculating the stock option expiration date than I thought, but here it is:

=EDATE(TODAY(),BM4)-DAY(EDATE(TODAY(),BM4))+8+14-WEEKDAY(EDATE(TODAY(),BM4)-DAY(EDATE(TODAY(),BM4))+2)

The cell BM4 should contain the number of months from today. So BM4=0 returns this month’s expiration date. BM4=1 returns next month’s expiration date. The third Friday of the month is the expiration date for stock options.

Reference: 3rd Friday every month [ExcelBanter]