Is trading E-minis a zero sum game or not?

Discussion in 'Index Futures' started by bankroll, Nov 9, 2012.

  1. I have all kinds of questions, but I don't PM. How the hell do you get a "distinct edge" playing roulette?

    I think they have been trying to figure that out since long before I was born.

    If they let you go to Las Vegas and bet on what people are probably going to do, you could make some consistent money.
     
    #21     Nov 10, 2012
  2. If money is net flowing into futures markets, it is firmly positive sum.

    If money is net flowing out of futures markets, it is firmly negative sum.

    If money is net unchanged in futures markets, it is slightly negative sum.
     
    #22     Nov 10, 2012
  3. By cheating.
     
    #23     Nov 10, 2012
  4. you know, the thing I found that is even better than cheating, is just buying a table and taking bets.
     
    #24     Nov 10, 2012
  5. Genius!!!
     
    #25     Nov 10, 2012
  6. seadog

    seadog

    Interesting approach.
     
    #26     Nov 10, 2012
  7. OK, something else got into my mind.

    With stocks you usually get dividends. But where the stock dividends disappear with the E-mini futures / S&P 500 stock index?
     
    #27     Nov 10, 2012
  8. seadog

    seadog

    With S&p 500, dividends have no effect. One or two companies with good div., has to deal with the other companies which may have a missed earnings. Equals out.
     
    #28     Nov 10, 2012
  9. They are accounted for in the market price of the contract (as are interest rates).

    This should help: http://indexarb.com/dividendAnalysis.html
     
    #29     Nov 10, 2012
  10. seadog

    seadog

    Right. Built in the price, I believe is the term.
     
    #30     Nov 10, 2012