What if each stock goes down 25%? Investor: +13.5% Bank: -38.5% <- How to hedge this? Buy puts? Capped upside makes me think of vertical spreads
Yes. However, issuers are usually huge institutions whose business isn't scamming. These institutions must be able to deliver what they...
Structured Products: How do they do it? Look at this one for example:...
Thank you. That's what I wanted to know.
Yes basically.
Alright, that might be it then. Why wouldn't it work with options though? You could somehow "buy" and "sell" VIX with the options.
The problem with IWM is the tracking error. I've just checked with IB: IWM 68.00 RUT 679.29 That's a big difference. I can't find the...
Hi, I want to trade RUT intraday. What are my options? The dynamics of RUT intraday work well for one of my strategies. I've...
Yes, I suggested "price=100+rate" but "price=100-rate" also works for what I need. :)
Thank you!
Hi, Here's the interest rate for T bills (3months) for the past few months: 01/01/08 2.82 02/01/08 2.17 03/01/08 1.28 04/01/08 1.31...
Hello, Can you beat buy&hold on a yearly basis? By beating I mean improving returns, max DD, volatility and Sharpe with a minimal number of...
It can be more than a year. For the listed suggestions, how does the additional risk scale with the additional profit? Is it a linear...
Hi I know that for most people here such a low performance would be ridiculous. However there are already a lot of threads discussing how to...
This is called curve-fitting.
Hi What would be a good trading strategy if the markets were gaussian?
I don't get this. By stable you mean stationary I guess? What do you mean with markets being truly gaussian? Normal distribution of daily...
Alright, thanks. Then how could it be exploited, provided that the range is big enough?
Thank you! So if the market expects tomorrow's trading range to be X and my opinion is that the range will be (much) lower than X, by selling...
Hi, What's the impact of the daily trading range on option prices? Let's say that the underlying will trade tomorrow in a much narrower...
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