Two questions :) (a) Why would you expect anyone to early-X an option in event of a crash and forego the residual premium (I have seen that...
You right and I am wrong, I got it backwards. This said, American feature hardly ever matters (unless funding goes totally bezerk) so one can...
It's a reasonable approach in some ways - the stock to index correlations are known to break down (e.g. on company-specific news). Just as a side...
How so? Weekly (Mon/Wed/Fri) and EoM options are American, expire into the futures instrument. It's only the quarterly options that are European...
It's very rare that a market making book will have something as well defined as "a fly". You get hit or lifted on something (hopefully at a good...
This is not exactly right. Depending on how you structure it (the belly ATM or the belly OTM), flys can express somewhat different views. For...
That mythical trend-following skew that sometimes comes and sometimes does not...
If you really want to get specific, it's the difference between jumps vs ambient volatility. In essence, if you rescale your time-series by the...
Dude, you're such an ignorant old fart - the right way is to YOLO everything on a single name/strike! It's like you don't know what options are...
I am just saying that it's important to know whos lunch you are eating and who's eating some food off your plate. This does not mean that...
In fairness, these guys are treating crypto as a cheap option as opposed to "the next sure thing". They are not hodling nearly as much of their...
Also, it worsens the climate change because of all the heat generated by friction!
SEC Charges Robinhood Financial With Misleading Customers About Revenue Sources and Failing to Satisfy Duty of Best Execution...
NYC has powdered water all over the streets at the moment :D
Well, it's not as simple. Indeed, index adds/deletes are known in advance. However, many funds are mandated to only hold stocks that are part of...
It's all right, we are having a general discussion. My main point is that most of alpha for a retail trader comes from looking at capacity...
Apparently, you're right: https://en.wikipedia.org/wiki/Grizzly–polar_bear_hybrid I suspected but was not sure - glad I asked!
Is there a God? What is the right way to eat oysters? Could polar bears and grizzlies have babies? PS. I'll think of more things I am not sure of...
I think she was there before he started, they met while they where both working at DE Shaw.
That could be because either (a) you actually make money on execution (i.e. you have an edge, like the market makers do) or (b) you lose less...
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