Volatility tratment business vs calendar day

Posted by aimz on
URL: http://quantlib.414.s1.nabble.com/Volatility-tratment-business-vs-calendar-day-tp5345.html

I want to understand clearly how business day vol is meant to be treated in a BlackConstantVol.

Assuming I am using a vol defined as a business day vol, is it correct to use the BlackVolTermStructure below as a volhandle for a BlackScholes process?

BlackVolTermStructureHandle volHandle = new BlackVolTermStructureHandle(new BlackConstantVol( evalDate, calendar, vol, new Business252()));

My understanding is that the construct above will effectively transfor the business day vol into a calendar day vol, using the calendar, before passing it to the BlackScholes process.

At the moment I am seeing some differences so just want to confirm.

Rgds