One of the most basic elements of any job on the trading floor is pricing. This post gives you two important tips that can help you to: reduce the probability of making a pricing mistake, talk to your trader in clearer terms, check that your pricing is reasonable, and generally get a better intuition for … Continue reading Two top tips for pricing
Here is a short list of the most common 'big-concept' questions that I was asked throughout my years as a quant (whether coming from people on the trading floor, in control functions, or from newcomers to the team), in no particular order: What is the risk-neutral measure? What is arbitrage-free pricing? What is a change … Continue reading What is the risk-neutral measure?