The Black-Scholes model provides an important foundation for mathematical
models used for pricing options. Myron Scholes won a Nobel prize for this and related work. It has always been recognised that blindly following models exposes the user to unexpected
risks since they are often at odds with reality. For some, such models
symbolise the absurdity of much of modern financial structuring. Nicholas Taleb’s Black Swan theoryrefers to a large impact event beyond the realm of normal expectations, and
has come to represent an event, like the credit crunch, that conventional wisdom said could not happen.

A White Swan is different.