Var calculations ? Expousres

[Technically Fundamental]

GJ stop repping everyone who argues against me you tw@

 

[gooseman]

perfect risk model=no opportunities, low returns and a boring market. piffle.

 

[gooseman]

xactly. you hit the nail on the head-it is an accepted risk method for large positions that can be easily understood by someone at IB that is not versed in derivatives.

it always amazes me how many people on here fail to see the difference between IG index/price ladders and "proper" derivs trading and the risks involved. not as easy to find a stop for some obscure expiry OTC swap possy.

 

[Technically Fundamental]

Yeh I suppose I'm being a c*ck. Can't be right 100% of the time can you? Maths or no. Seeing things Black and white is the key here.

VaR = an idea of where you're at.

 

[gooseman]

fair

 

[Technically Fundamental]

it always amazes me how many people on here fail to see the difference between IG index/price ladders and "proper" derivs trading and the risks involved. not as easy to find a stop for some obscure expiry OTC swap possy.

Hear Hear

 

[arabianights]

I would argue, for example, that the fact that so much of the options world basically runs on Black/Scholes is testament to that. Not all of it mind, but hope you take the point. In day to day execution terms for otc options it's the standard.

I refute it thus!

(yes, this will only be understood - properly - by those as suave and sophisticated as me, but they are the only folks who can grasp the nuances, so there we go...)

 

[Technically Fundamental]

Is that a kendo stick?