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kurt
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Joined: January 15th, 2002, 12:20 pm

Risk Arbitrage & Credit Risk

January 15th, 2002, 12:35 pm

Just wondering if anyone knows how Risk Arb are done in an Investment Bank settings. It doesn't look like a normal trading desk set up where you take positions on something first, then get the sales to sell you positions. Also, where does credit risk comes in on a Risk Arb deal?Thanks for the help in advance.
 
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kurt
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Joined: January 15th, 2002, 12:20 pm

Risk Arbitrage & Credit Risk

January 24th, 2002, 3:25 pm

Well, thanks for everyone's help. I now have a pretty good idea how its done.
 
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Aaron
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Joined: July 23rd, 2001, 3:46 pm

Risk Arbitrage & Credit Risk

January 25th, 2002, 2:49 pm

Well, thanks for everyone's help. I now have a pretty good idea how its done. >>

You know what they say about music, it's not the notes that are important, but the silence in between.

I don't know the answer to your question, the IB Risk Arbitrage I know about is done on normal trading desks. Maybe someone else can help.
 
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David
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Joined: September 13th, 2001, 4:05 pm

Risk Arbitrage & Credit Risk

January 25th, 2002, 3:32 pm

The Complete Arbitrage Deskbook by Stephan Reverre, definitely should answer some of your questions.

D