Quote from Randek:
So I guess this is how RiskArb reacts when he gets schooled on elemntary things.
The amusing thing is that you didn't even need to be an "expert" in SPAN.
Maybe if you only had a few more IQ points, you could have easily realized the obvious flaw and that your answer just made no mathematical sense at all when dealing with high-delta options.
LOL
I'd love to see your example in which your SPAN margin argument applies dynamic, risk-basd SPAN margin to a long option. You can't. You never mentioned delta; you simply stated that applying the "100% of premium" req was wrong. When in fact it's correct as long as it doens't exceed futures req.
You lose dude.
Compared to you, I am the Library of Congress... and you're the Special Ed learning Annex. Hurry up or you'll miss your finger painting class.
