NY/FX(GBPUSD) - LONDON

<t>Hello,As Alan said there are loads of reasons for that.As daveangel said if you are dealing with American Options, do you take into accounts dividend and what rate are you using for financing your position, is the exchange making people to pay the premium up-front, what kind of margins is it requ...

<t>Hello,I wont get into specifics HFT algos because I dont know but Ill just take a quick moment to focus on your 30 milliseconds.I'm not from a HFT background, I'm mainly focused on options.1. Increasing speed wont change anything if there is an issue on how you designed or exec your models, so if...

<t>As outrun explained well : you can add a number of parameters and consider a number of different contracts to include in your model (Spread Intraday/DayAhead , WeekAhead/MonthAhead...) , on a single gas year you have many spreads but not much tradable contracts in the market with liquidity, and h...

<t>Quotethe reason equities are quoted this way is that there is not always agreement about what the forward price should beYou're wrong, I can buy a share in 6M forward time on the futures market whenever I want. The agreement is the future price.Whatever if you say this is standard mkt procedure, ...

<t>Sladner , so your saying if im asking a 6M ATM Call for a stock which will release a discrete dividend of about 5% the current spot you actually gonna quote me an ITM call ? (because the ATM spot is way much higher than the ATM Forward and the underlying of a 6M ATM call is the forward and not th...

<t>I dont mean to be rude but your question is like asking : How do you manage a trading book ?Well, if you know your options theory and dont see how people actually use it in real market situation but you are curious enough to ask here, I'd suggest you get some field experience at a trading desk ra...

From my point of view i see nothing wrong with what you did but its not really my field.Hope someone will give it a try im curious about it !Good Luck !

<t>I think I read that 60% of DB staff is support function. I dont know how many costly functions like risk/quant/IT dev/Legal/Compliance/HR... there is in this bank (im talking for the market activities) for 1 profit center (say trader/sales/broker) but if you start putting the staff which make you...

<t>Say you are a structured products trader and you have your book plugged on a set of volatility where parameters are remarked and defined by an other branch of the Bank, say the Flow trading branch for example.If the market is trading 19% but they didnt update your set of parameters for many reaso...

<t>You wont find any. Main market is going through OTC and even there, there is no liquidity really, it doesn't trade much as classic options doesn't reflectmain actors needs. You'll find much more OTC products like swings, virtual storage or things like that trading and they re not listed. Also opt...

I may be wrong but if he is working on options on futures with rate around 0 he will see no difference between Black for European and American value.Even with higher interest rate if he focus on OTM options which is what is on the market he will see no difference.

Commodities and Commodity Derivatives by Helyette Geman

<t>There are lots of stocks where you can't find listed options, yet you can buy them OTC, or you can buy Warrants (also called ripoff) if you're a retail or small institutional investor.First, you wont be the first to quote them, so if you ask around you can guess where other people are willing to ...

<t>If you'r long of the option, you'll buy close to the barrier not short. (your delta is not really negative but it is decreasing quickly as you get closer to the barrier so you need to buy-back). But your global position of stock will be SHORT , it's not because your buying back a bit that your ar...