Method for finding a arbitrage opportunity when market price of call is incorrect

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The solution of the Black-scholes equation is the price of a European call. And the option price assumes the underlying stock is a geometric Brownian motion with volatility $\sigma_{1}>0$.

Suppose, however, the underlying asset is really a geometric Brownian motion with volatility $\sigma_{2} > \sigma_{1}$, i.e. \begin{equation} dS(t) = \alpha S(t)dt + \sigma_{2}S(t)dW(t). \end{equation}

Consequently, the market price of the call is incorrect.

Can we set up a portfolio which has an arbitrage opportunity in the market? Furthermore, if there any methods to generate a portfolio arbitrage opportunity (how to consider this problem)?

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This is an excellent question! You can! This is basically the result called "The fundamental theorem of derivatives trading" see link. We assume $$ dS(t) =S(t) (\alpha dt + \sigma_2 dW(t) ) $$ but some derivative is priced at implied volatility $\sigma_1<\sigma_2$, assume it has payoff function $h(S_T)$ and has value $C_h(S_t,r,\sigma_2,t)=C(t,S_t)$ consider a last $\hat{\sigma}^2$, this is the volatility we will use for hedging and can be either or something else. Assume we have constant interest rate $r$. The derivative price function satisfies the Black-Scholes PDE $$ \frac{\partial C}{\partial t} + rs \frac{\partial C}{\partial s}+ 1/2 \sigma_2^2 s^2 \frac{\partial^2 C}{\partial s^2}- rC = 0 $$ and C(T,s) = h(s). To make the argument similar to usual hedging strategies we will assume we sell the underlying and hedge it - in fact to enjoy the arbitrage we need to exactly reverse the strategy described. Say we sell the derivative and delta hedge it using $\hat{\sigma}$ we will continuously hold $\phi_t = \frac{\partial C}{\partial s}$ (determined by the BS equation with $\hat{\sigma}^2$) of the risky asset and make the hedging portfolio self-financing in the risk free we get $$ dX_t = \frac{\partial C}{\partial s}(S_t) dS_t + (X_t -\frac{\partial C}{\partial s}(S_t) \cdot S_t ) r dt $$ while the actual price process $Y$ (Ito on C from BS satisfies) $$ dY_t = \frac{\partial C}{\partial s} dS_t + (\frac{\partial C}{\partial t}(S_t) +1/2 \sigma_2^2 S_t^2 \frac{\partial^2 C}{\partial s^2}(S_t) )dt $$ so the hedge error $Z = X - Y$ is (use BS equation) $$ dZ_t = r X_t + 1/2 S_t^2 \frac{\partial^2 C}{\partial s^2}(S_t) (\hat{\sigma}^2-\sigma^2_2 ) dt $$ this yields that (solve it as a differential equation) $$ Z_T = X_T-h(S_T) = \int_0^T e^{r(T-s)} 1/2 S_t^2 \Gamma_t ^2 (\hat{\sigma}^2 -\sigma_2 ^2) dt $$ note all terms in the integral are positive so if we hedge using $\hat{\sigma}=\sigma_1 <\sigma_2$ the (combined) position is free but will surely loose money, while in the case $\hat{\sigma}=\sigma_1$ the integral cancels, but the position will initially cost us money (we initiate a replication of a more expensive derivative). Ergo reversing the strategy yields an arbitrage :)