There are many quant funds assuming an EMH/random underlying in their models and make a ton of money. And there are many funds that don't have that assumption and make a ton of money. But lets put that argument aside for now.
My main point is that the theoretical EV of an option purchase or...
Assuming: EMH is true and the underlying is random; isn't the EV of every option trade essentially zero (not taking commissions and slippage into account, after which the EV is negative)?
So selling a put is no more riskier than buying a call. Buying calls results if lots of small losses...
I traded for a Dimension sub LLC for a few months in 2007. I'm still waiting for a K-1 for 2007.
The LLC owner is saying that Dimension still hasn't released the master K-1. Is this true? Are there other Dimension traders that have not received there 2007 K-1? Or is the sub LLC owner just...
I had a thread under career trader titled:
2008 K-1, Still Haven't Received It.
I made a typo in the title, I meant 2007 so I asked her to change the title and she deletes the entire thread.
I was wondering if you're a hedge fund and you had to hire traders, how would you get around the 90% failure rate?
1. Trade only fully automated systems that have been carefully researched and back tested. Remove all discretion.
2. Hire only the smartest guys (top tier MBAs, PHDs, etc.)...
Probably 5% of brokerage accounts generate 95% of all trades - these are the accounts that care about commission costs - the active trader/investor. The other 95% that do 5% of the volume really couldn't care less.
Bank of America offers it and so does Zecco - I'm sure many more brokers to follow. I wonder if anyone is doing it and how is it going. Not exactly a real platform for active traders - and there are limits to the number of trades. So I guess not exactly designed for the active trader in mind...