How to Price Bonds and Options with Claude
Price bonds and options with Claude and ToolRouter. Black-Scholes and bond pricing with Greeks and duration.
Tool
Claude prices bonds and options and then explains the results in depth. It breaks down what duration means for a bond's price sensitivity, explains each Greek and what it implies for an options position, and helps you interpret the pricing output in the context of the trade you are evaluating.
Connect ToolRouter to Claude
1Open connector settings Open Settings
2Add a custom connector with these details
Name
ToolRouterURL
https://api.toolrouter.com/mcp3Let Claude set you up Open Claude
Steps
Once connected (see setup above), use the Financial Calculator tool:
- For a bond: provide face value, coupon rate, maturity date, and current yield
- Ask Claude: "Price this bond and show duration and accrued interest"
- For an option: provide underlying price, strike, volatility, time to expiry, and risk-free rate
- Ask Claude: "Price this call option and show all the Greeks"
Example Prompt
Try this with Claude using the Financial Calculator tool
Price a 5-year government bond with face value £100, 4% coupon, current yield 4.5%. Show the clean price, dirty price, and duration. Then price a call option on the same underlying: strike £98, current price £100, 90 days to expiry, volatility 18%, risk-free rate 5%.
Tips
- Ask Claude to explain what each Greek means for your specific option position — not just the values
- For bonds, ask for both modified duration and Macaulay duration to understand rate sensitivity
- Ask: "If yields rise 50 basis points, what happens to this bond price?" to make duration tangible