First introduced by Mark Garman in an article Semper tempus fugit published in 1989 by Risk Publications, this name was designed to represent a quantity used in binomial trees to estimate american options. the latin term "tempus fugit" means "time flies" and Mark Garman suggested to use that word because "time flies especially when you're having fun managing your book of American options"
fugit (plural fugits)
- third-person singular present active indicative of fugiō
- third-person singular perfect active indicative of fugiō