Add training workflow, datasets, and runbook
This commit is contained in:
@@ -0,0 +1,31 @@
|
||||
300 • N o t e s
|
||||
4. The original academic paper discussing prospect theory was published
|
||||
in Econometrica, Volume 47, Number 2, in March 1979 under the title:
|
||||
“Prospect Theory: An Analysis of Decision Under Risk. ”
|
||||
5. Over the years, the paradigm for broker-dealers has changed, so some
|
||||
of what is written here is a bit dated. Broker-dealers have one part of
|
||||
its business dedicated to increasing customer “flow” as is described
|
||||
here. Over the last 20 years or so, however, they have additionally
|
||||
begun to capitalize what amounts to in-house hedge funds, called
|
||||
“proprietary trading desks” or “prop traders. ” While the prop traders
|
||||
are working on behalf of corporations that were historically known as
|
||||
broker-dealers (e.g., Goldman Sachs, Morgan Stanley), they are in fact
|
||||
buy-side institutions. In the interest of clarity in this chapter, I treat
|
||||
broker-dealers as purely sell-side entities even though they in fact have
|
||||
elements of both buy- and sell-sides.
|
||||
Chapter 7
|
||||
1. Round-tripping means buying a security and selling it later.
|
||||
2. This bit of shorthand just means a bid volatility of 22.0 and an ask
|
||||
volatility of 22.5.
|
||||
Chapter 8
|
||||
1. This is one of the reasons why I called delta the most useful of the
|
||||
Greeks.
|
||||
2. When I pulled these data, I pulled the 189-day options, so my chance
|
||||
of this stock hitting that high a price in this short time period is slim,
|
||||
but the point I am making here about percentage versus absolute re-
|
||||
turns still holds true.
|
||||
3. A tool to calculate all the downside and upside leverage figures shown
|
||||
in this chapter is available on the intelligent option investor website.
|
||||
4. “Buffett’s Alpha, ” Andrea Frazzini, David Kabiller, and Lasse H. Ped-
|
||||
ersen, 2012, National Bureau of Economic Research, NBER Working
|
||||
Paper No. 19681.
|
||||
Reference in New Issue
Block a user