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options_price

Read-onlyIdempotent

Price European options and compute 10 Greeks using the Black-Scholes model. Returns option price, Greeks, and intrinsic/time value breakdown.

Instructions

Black-Scholes pricing with 10 Greeks (delta through color).

Use when you need to price a European option or compute Greeks (delta, gamma, theta, vega, rho, etc.) using the Black-Scholes model. Provide spot price, strike, time to expiry, risk-free rate, and volatility. Returns: option price, 10 Greeks, and intrinsic/time value breakdown.

Input Schema

TableJSON Schema
NameRequiredDescriptionDefault
KYesStrike price
SYesSpot price of the underlying asset
TYesTime to expiration in years
qNoContinuous dividend yield
rNoRisk-free interest rate (annualized)
typeNoOption typecall
sigmaYesVolatility (annualized, e.g. 0.2 = 20%)
Behavior3/5

Does the description disclose side effects, auth requirements, rate limits, or destructive behavior?

Annotations already declare readOnlyHint=true, idempotentHint=true, and destructiveHint=false. The description adds that it returns price, 10 Greeks, and breakdown, which is useful but not essential beyond annotations.

Agents need to know what a tool does to the world before calling it. Descriptions should go beyond structured annotations to explain consequences.

Conciseness5/5

Is the description appropriately sized, front-loaded, and free of redundancy?

The description is two sentences: a headline summarizing the tool, then a clear usage and returns statement. Every word is meaningful and front-loaded.

Shorter descriptions cost fewer tokens and are easier for agents to parse. Every sentence should earn its place.

Completeness4/5

Given the tool's complexity, does the description cover enough for an agent to succeed on first attempt?

No output schema exists, so the description compensates by listing return values (price, 10 Greeks, intrinsic/time value breakdown). This is sufficient for typical use, though edge cases are not addressed.

Complex tools with many parameters or behaviors need more documentation. Simple tools need less. This dimension scales expectations accordingly.

Parameters3/5

Does the description clarify parameter syntax, constraints, interactions, or defaults beyond what the schema provides?

Schema coverage is 100%, so all parameters have descriptions. The description mentions some parameters (spot, strike, time, rate, volatility) but adds no new meaning beyond what the schema provides. Baseline 3 is appropriate.

Input schemas describe structure but not intent. Descriptions should explain non-obvious parameter relationships and valid value ranges.

Purpose5/5

Does the description clearly state what the tool does and how it differs from similar tools?

The description clearly states it performs Black-Scholes pricing with 10 Greeks, listing specific return values. This directly differentiates it from sibling tools like options_implied-vol (implied volatility) and options_strategy (multi-leg strategies).

Agents choose between tools based on descriptions. A clear purpose with a specific verb and resource helps agents select the right tool.

Usage Guidelines4/5

Does the description explain when to use this tool, when not to, or what alternatives exist?

Explicitly says 'Use when you need to price a European option or compute Greeks' and lists required inputs. It does not explicitly state when not to use or name alternatives, but the context of sibling tools provides implicit differentiation.

Agents often have multiple tools that could apply. Explicit usage guidance like "use X instead of Y when Z" prevents misuse.

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