Convexity Maven - "Pigs Can Fly"

Discussion in 'Wall St. News' started by dealmaker, Feb 4, 2020.

  1. dealmaker

    dealmaker

    Harley Bassman (BASSMAN, HARLEY)<hbassman2@bloomberg.net>
    Jan 28, 2020, 5:06 AM (7 days ago)

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    "Who are you going to believe, me or your lying eyes ?"

    I was going to quote from scripture, but that is a step too far; so The Eagles will have to do. Ultimately, one either believes or not.

    Today's Commentary, "Pigs Can Fly", posits that fiat currency created at a pace faster than the growth of the economy must eventually lead to its devaluation. As such, debt piled as a financial Tower of Babel will meet the same fate.

    >>> www.convexitymaven.com/images/Convexity_Maven_Pigs_Can_Fly.pdf

    I believe that demographics and politics will pull the curtain back on the Wizards of Western Central Banks to reveal their folly. This will not occur soon, rather over the later half of this decade. Of course, the problem is that markets may well anticipate prior.

    Fortunately, as fire insurance is cheap when its raining, so too are certain long-dated risk management tools.

    I will caveat that although I am certain of the denouement, it is possible its date is vastly longer than my career; thus, similar to other insurance products, I will not mind if this too expires worthless.

    Finally, I am noodling ways to make this idea available to a wider (non-professional) audience, so stay tuned to this site.

    Your questions and comments are always welcome at: harley@bassman.net

    You may forward this note freely; ping me if you would like to be added to this distribution.

    For reference literature on the financial markets - particularly about options and derivatives - I will immodestly direct you to my educational archive at:

    >>> www.convexitymaven.com/themavensclassroom.html

    The professional trade outlined here requires an ISDA.
     
  2. MrMuppet

    MrMuppet

    I appreciate your input here and I enjoyed the read...but really...this is a retail forum. 99% of the guys here dabble with trendlines, fibonacci and orderflow.

    They don't even know what an ISDA is :D
     
    ironchef and jys78 like this.
  3. Sekiyo

    Sekiyo

    You’re welcome in his classroom then.
    See you there.
     
  4. dealmaker

    dealmaker

    Agreed, however as you rightly pointed out there are a few on Elitetrader that may benefit from this post...
    Lastly I don't know if you have seen the 2005 film Revolver by Guy Ritchie; it's synopsis was "Rules of the Game" which were: 1) The only way to get smarter is to play a smarter opponent 2) The more sophisticated the game the more sophisticated the opponent. Best of luck!
     
    Sekiyo likes this.
  5. ironchef

    ironchef

    I don't think I can get any smarter, can't teach an old dog new tricks.
     
  6. ironchef

    ironchef

    What is an ISDA may I ask?
     
  7. dealmaker

    dealmaker

    I am guessing you have not read “Grit” by Angela Duckworth or Carol Dweck’s “Mindset” both were groundbreaking works and bestseller. To sum them up in a sentence you get smarter by being open minded and sticking to a task ie age is just a number and you can achieve sophistication if you persist.
    I have a hunch your response was tongue in cheek...
     
    Last edited: Feb 8, 2020
  8. ironchef

    ironchef

    No, it truly gets harder and harder to learn new things as you get older. I am speaking from experience sir.