We are delighted to welcome back U.S. Commodity Futures Trading Commission Chair and Georgetown University alum Rostin Behnam for Psaros Center for Financial Markets and Policy's #FMQ conference. Tune in to hear about the fantastic line up of speakers. #Finance #Financialmarkets #Regulation

Hello colleagues, I am happy to share our new short paper which discusses deep hedging and statistical arbitrages. We highlight with a small example that the inclusion of statistical arbitrage component (speculation) by deep hedging agents can be the outcome of improper choice for the risk measure, while risk measures putting enough weight on the most adverse scenarios relative to favourable ones lead to sound hedging behaviour. https://lnkd.in/gAfT57hb Joint work with Carlos Pérez Mendoza, Genevieve Gauthier, Pascal Francois

Join us Today at 1 pm MDT as CQG's Kevin Darby gives a presentation on the paper he wrote, "Time is Money: The Equilibrium Trading Horizon and Optimal Arrival Price". Learn more and register for this webinar at the link. https://ow.ly/XvuV50TEn95

On #Teaching | During my Wealth I class today, we looked at the intersection of the Pecora Commission and the establishment of the Securities and Exchange Commission. Understanding the historical context behind the information we learn about yesteryear's markets is essential for a foundational understanding of today's markets. Cheers! #WeAreFacs #UGAFinancialPlanning #FinancialPlanning #History

Congratulations to Álvaro Cartea, Sebastian Jaimungal, and Leandro Sánchez-Betancourt for their new working paper “Nash Equilibrium between Brokers and Traders”. Highlights: • They study competition between brokers and informed traders. • They characterise the equilibrium trading strategies of both parties. • They analyse the effect of information on the trading strategies in equilibrium. Link to paper: https://lnkd.in/gPnANMJ5

How do brokers and traders form a Nash equilibria when the trader uses a trading signal in their strategy? Find out in my latest working paper co-authored with Álvaro Cartea and Leandro Sánchez-Betancourt. In the paper, we uncover the impact of information, profitability, and inventory control. Link to paper: https://lnkd.in/gktVcyft #algorithmictrading #risk #trading #mathematicalfinance #quantitativefinance

Let's solve this interesting quant interview question and learn the concept alongside! There are three call options on the market, with the same expiry and with strikes 15, 20, and 25. Suppose the call option with strike 15 costs Rs. 9, the call option with strike 20 costs Rs. 6, and the call option with strike 25 costs Rs. 2. Is there an arbitrage opportunity? What are the concepts involved? Call prices are convex functions of strike; otherwise, it would lead to an arbitrage opportunity. We can show that an arbitrage opportunity exists if the function is non-convex or derive it by finding the second derivative of the call price with respect to the strike, which should be greater than 0. This derivative is also equal to the risk-neutral probability density (Breeden-Litzenberger Formula), called the state price density. If the condition is violated, we get an arbitrage opportunity called distributional arbitrage or butterfly arbitrage. Refer to the attached booklet for complete details. Follow KSHITIJ ANAND for more information on Quantitative Finance! #Quant #QCS #QuantitativeFinance #Quantij

This article offers practical insights into the put-call parity formula, exploring that it is theoretically possible to apply the put-call parity equation for potential arbitrage opportunities in options trading. Read more 👉 https://lttr.ai/AYzGA

Dacoity is an offence. But there are things to learn from a DACOIT too, in Intraday Option Trading. Watch this video of Dr A Sadasivam, PhD , to learn more