Small research team for trading an exotic option product

Discussion in 'Options' started by Aquarians, May 25, 2020.

  1. Small research team for trading an exotic option product

    Could make some billions per year, btw.

    So I'm freaking all by my self now trying to solve some excruciatingly complicated equations which means there's noone by myself to ask wtf is wrong when something is wrong, and it's definitely wrong.

    The path I take is:
    - Derive the f**in equation. Write a test for it fingers crossed but obviously it fails.
    - Try another 2 versions of deriving the same f**in equation withing the same day. Tests obviously still fail AND now I got 3 completely different results.
    - Overcome my ADHD till next day when I'll derive another 5 versions of the equations and now end with 5 results. If you think this is futile, you don't recognize progress.
    - Do whatever it takes and wait up to a week. Compare the results after a week with the ADHD ones and be astonished on how much you can accomplish by essentially doing nothing but waiting for the neuronal excitement to settle down.
     
  2. Fx-Game

    Fx-Game

    ?
     
  3. Not into FX, sorry. I did for almost a year research a thing for a German guy, former trader in Amsterdam, on some FX arbitrage issue. Pushed to the limits maybe it could provide two guys with a living income for a few years.

    But I already have a living income for a few years. I'm interested in changing the world, not playing by it's rules.
     
    Fx-Game likes this.
  4. MrMuppet

    MrMuppet

    Alright @Aquarians, calm down, dude :)

    First of all: How liquid is the product? Is it listed, is it traded OTC, which jurisdiction? Is there a minimum capital requirement to trade it and do you need an ISDA to trade it?
    How much is the data and where do you get it from?

    OR do you mean YOU want to invent a new option product?
     
  5. >> First of all: How liquid is the product?

    Very liquid.

    >> Is it listed, is it traded OTC, which jurisdiction?

    It's listed and exchange-traded.

    >> Is there a minimum capital requirement to trade it?

    Definitely. I started my journey into finance on Japan's Nikkei225 and it takes 1000x it's value to trade one bit of it. That's $20,000.

    >> and do you need an ISDA to trade it?

    No idea what that is. Will check.

    >> How much is the data and where do you get it from?

    $10k for companies per year. Less for me as nonprofessional.

    >> OR do you mean YOU want to invent a new option product?

    Not at all. But can and WILL do that for the trillions! >:) But let's concentrate on billions now :p
     
  6. The way the world is structured at the moment rewards:

    1) Lucky funks.
    2) Slackers.

    If I'm one of #2 who embarked on a lifetime of pain to try reach #1 and didn't quite reach it, then I'm #2. Worst of both worlds, I'm too far away from #2 to mingle with it anymore but still no #1.

    So what I'm offering here in my calculations: a place for the middle class to enjoy life like the fuckers above and below do, and something more ;)
     
  7. Fx-Game likes this.
  8. guru

    guru

    If it’s liquid then everyone trades it and everyone knows about it, so what’s the problem with simply stating which product it is?
    I mean that traders aren’t concerned with stating they have an edge in trading SPX, NDX, ES, FX, CL, single name options, large caps, small caps, bonds, more exotic products like electricity, etc.
    While you make big deal out of clearly stating basic things.
    Anyway, everyone here is their own research team, as trading means researching. Good luck with your research.
     
    never2old likes this.
  9. Thakns. It's derivatives of derivatives.
     
    #10     May 25, 2020