The ACD Method

chisel · Oct 13, 2016

Mav,
I would like to see the convexity curve. Thank you.

deltastrike · Oct 13, 2016

Maverick74 said:
Actually...I want to see more participation in this thread. I'll build the convexity curve if 3 people post on here they want to see it. I have to re-build one of my oil models this weekend and this convexity curve is going to be a little bit of work so if no one wants to see it I won't waste the time. LOL. I keep forgetting I don't get paid to post here. So if you guys want to see it, let me know. Otherwise I have plenty of other work to do.

Count me in!

hoop121 · Oct 13, 2016

So is this convexity a fancy way of saying asymmetrical returns?

Maverick74 · Oct 13, 2016

hoop121 said:
So is this convexity a fancy way of saying asymmetrical returns?

Asymmetrical returns is a "property" of convexity. Convexity is "slightly" more complicated then just saying asymmetric returns.

justrading · Oct 13, 2016

Mav, this futures term structure you are referring to?

Maverick74 · Oct 13, 2016

justrading said:
Mav, this futures term structure you are referring to?

No. Term structure itself is rather binary.

wavefinder · Oct 13, 2016

Maverick74 said:
So if you guys want to see it, let me know. Otherwise I have plenty of other work to do.

I would also like to see it.

Maverick74 · Oct 13, 2016

wavefinder said:
I would also like to see it.

Dammit! There goes my football viewing schedule.

keith · Oct 13, 2016

I have been reading and taking notes on the posts in this thread, only a quarter of the way through. Thanks for the info, no other forum is covering this subject like this one.

Convexity curve count me in.

OneFive · Oct 14, 2016

I'll pile on...would like to see the convexity curve. Are we now looking at a range of .26 to .30 as the flat price works higher? Anyone have a historical perspective on how wide the spread has gotten at extremes?