Category: General

General posts about markets

Political market making

It is challenging to understand how to model external shocks when trading financial markets. However, in recent years, it has become particularly notable that these risks, such as Brexit, the election of Trump, or coronavirus can greatly impact markets. Hence, we need to have a way to model them. In this paper we investigate the…

It’s ok to not have a market position

Equity markets have surged over the past few weeks off the March low. High beta currency pairs such as AUD/USD have pretty much wiped out the losses they experienced at the start of the crisis. Whilst the speculators have largely expected falls, building up large short exposure in for example S&P500 futures, the retail “Robinhood”…

Following markets from home

I’m at home whilst I’m writing this, currently watching the Berkshire Hathaway meeting over webcast (here’s hoping that I’ll be back in Omaha next time it takes place). I’ll take a wild guess here, but I suspect you might well be at home as well… Despite the fact that I’ve been working independently, for the…