<t>QuoteOriginally posted by: Gmike2000i have not seen a cva desk in person, but from what is being said in the market they seem to be dumb money, a.k.a. forced hedgers. this does not mean it is a dumb function, no it really is a new and important activity for banks to manage their risks.but the way...

<t>Cool thanks! Things get a bit clearer now... I think every big investment bank places it in the front line for a reason.... If it is just merely just risk management per se, then it would be a middle office function and trading will not take place frequently, although how much risk that each is a...

Cool much appreciated the reply...

Hmm, so the answer is that they are equally expensive coz the wings are symmetric?

Out of the money USD Call & Put...

This is a question which I encountered at an interview for FX Options. I was never told the right answer. So just wondering what the answer is:For options on USD/JPY, is USD call or put more expensive? Why? Thanks.

<t>I am a fresh graduate who will be joining a CVA Trading desk at a bulge bracket after graduation. I have read through several forum on Wilmott and feel that there are a few people like me, with limited experience on the desk, am uncertain about the way the desk generates profit. Some people talke...