Very good read, thx Nitro. @Atticus: I guess he wants to keep his anonymity (and his sanity lol) but in case he agrees is there any way to link to any of his posts?
Issue 7.12 | Dec 1999 " In the early '80s, Greenbaum and his protégé, Struve, agreed that dynamic hedging techniques were needed to manage portfolios against ordinary market moves as well as the possibility of shocks. Rather than risking their money on static assumptions, they used those assumptions as a base to continuously uncover the ever changing events that could lead to catastrophe and set up constraints to keep the firm from being exposed to them. " Saying is always easy!