That makes no sense. That is exactly the same thing as then selling puts the next month.
Other than the interest rate issue (which is not much of a real consideration) a covered call is exactly the same as a naked put. It is absolutely...
These are pretty ridiculous claims. No offense, it's obvious you are not in the industry... I'd be surprised if GS has any serious client loss....
I don't think it would really change too much. It's not like one person purchasing all of the shares changes the demand for those shares.
Delta depends on time, vol and (to a lesser extent) interest rates.
What do you mean bring the stock back up to $50?
Goldman losing 70% of their IB revenue?? Where are you pulling this number from?
You're not understanding what I'm saying... as a market maker you charge a premium in vol terms in the big ask for sensitive contracts. Also I...
Before big announcements you'll see bid/ask widen substantially (or perhaps temporarily disappear) and market makers will often charge a large...
There are a lot of factors that go into this. First, it depends on whether it's a GSE MBS or Private Label MBS GSE MBS are guaranteed by...
Seriously, go buy Hull or Natenberg, you will be much better off with that kind of background knowledge.
I wasn't speaking to you specifically, just in general. I'm not bashing anyone, these products are not easy to understand for a lot of people in...
Agreed... this isn't even a complicated structure. If you've perused any options book like Hull at the very least you should be able to use excel...
Alright I think there is a fundamental misunderstanding about the products involved in this case... please read this before you blame Goldman for...
A protective put is when you are long underlying and buy a put. It is a synthetic long call.
Low risk??? What the heck are you talking about. Think about it. Long stock: Makes money with increase in price, loses money with decrease in...
That's not really common for traders at most BBs... I don't know if it's different at GS or what, but either way it strikes me as a pretty large...
It's more common for them to hire recent graduates due to the ease of on campus recruiting. It is not impossible to get in other ways, however it...
As mentioned, if you are looking to get onto a derivatives desk in particular, they like to see quantitative background. Not necessarily because...
Full time MBA's are usually 2 year programs. MBA is good to transition into a BB in S&T, not as good for Prop funds. No idea about online...
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