19-12-2013, 11:23 AM
(This post was last modified: 19-12-2013, 11:31 AM by specuvestor.)
Academics will tell you that delta hedging intrinsically is a zero sum game Perfect hedge means doing something for nothing.
PS London whale could actually be a victim of delta hedge:
"So as the market rallied they bought more and more and with the market selling off, they are forced to sell more and more "
http://www.zerohedge.com/news/how-jpms-h...easy-chart
PS London whale could actually be a victim of delta hedge:
"So as the market rallied they bought more and more and with the market selling off, they are forced to sell more and more "
http://www.zerohedge.com/news/how-jpms-h...easy-chart
Before you speak, listen. Before you write, think. Before you spend, earn. Before you invest, investigate. Before you criticize, wait. Before you pray, forgive. Before you quit, try. Before you retire, save. Before you die, give. –William A. Ward
Think Asset-Business-Structure (ABS)
Think Asset-Business-Structure (ABS)