Check around the web!
I can already see the LIII 2013 question on the European contagion.
today’s crash doesn’t help the general public sentiment…
folks, relax… it’s called derivatives-induced volatility. Don’t panic or you’re toast.
its a glitch…buy buy buy!
Operations risk SS14
this is why they need to reinstate the uptick rule, it’s ridiculous, people are making a killing and others are getting killed all in an unpredictable mess that hurts everybody
Uptick rule on futures?
not sure I agree. it’s capitalism, you lay your $ and take your bets.
This goes against the superiority of passive management strategies touted by the CFAI. The managers must be allowed more flexibilities to take advantage of short-term market movements.
The average passive dollar will always outperform the average active dollar. http://www.stanford.edu/~wfsharpe/art/active/active.htm When active managers “take advantage” of short-term movements, they are taking advantage of other active traders. Passive traders only buy & sell on reconstitution dates.
Isn’t this a bit outdated though?? Taking into account regime changes, debasing of data, and all that other crap from errors in economic analysis? P.S. Looks like a good article though. Will read it to fall asleep tonight. Thanks.
It is only outdated if the rules of arithmetic have changed since 1991.
@ Slash you think futures are not derivatives? derivatives derive its value from an underlying, and that is…? the problem was because of greece contagion which caused a drop of 300 pts in the dow before the additional 700 point move which was initiated by a trading error, probably Citi. the primary market shut down for 90 seconds after P&G and Accenture got raped by the one guy who put in the wrong order and then the secondary market participants got freaked out and P&G dropped to 40 and Accenture dropped to close to 0… if you have the uptick rule in place, there has to be a buy before every sell. This will never happen. I get that you need to take down bad companies, but you need to do this in one day?
crash is spining for Europe. basically Greece is going to default no matter what happens in the form of funding and then other european countries will follow.