Option arbitrage question

Discussion in 'Options' started by Helloall123, Nov 25, 2017.

  1. JackRab

    JackRab

    I was actually thinking with an effective dividend of 0, seeing it as if it's reinvested at index-level... like in the DAX... index stays at price including dividends.
     
    #21     Nov 26, 2017
  2. JackRab

    JackRab

    that doesn't look correct mate...

    Stock price at current level = 1000 not 1822

    Can I sell that 1822 call to you at 297?
     
    #22     Nov 26, 2017
  3. sle

    sle

    I think he left in the late 80s/early 90s when he founded Oak Ridge, no?
     
    #23     Nov 26, 2017
  4. ajacobson

    ajacobson

    Exactly. Older guy - my age. When you mentioned MS - he got into all kinds of fun doing index arb.
     
    #24     Nov 26, 2017
  5. sle

    sle

    I never mentioned MS :) but no, we did not overlap but I have met him socially a few times
     
    #25     Nov 26, 2017
  6. ajacobson

    ajacobson

    I inverted the put/call. Sorry everyone.
     
    #26     Nov 26, 2017
  7. JackRab

    JackRab

    We'll let you out on that... clearly mispriced.
     
    #27     Nov 27, 2017
  8. sle

    sle

    My best impression of an IB sales coverage: “You’re a good client and a solid friend! Let’s go to Bobby Vance next week?”
     
    #28     Nov 27, 2017
    JackRab likes this.
  9. JackRab

    JackRab

    I don't know what Bobby Vance is, but $-value of trades I let go on misquotes by brokers is eyewatering...

    That said... I've been let out a few times as well :D:rolleyes:
     
    #29     Nov 27, 2017
  10. sle

    sle

    Bobby Vance is a steak house - kind of a staple NY broker dinner. I’ve eaten there more than I can count and I am vegetarian :)
     
    Last edited: Nov 27, 2017
    #30     Nov 27, 2017