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As far as hedge funds go: those who had shorted UK equities; bought US Treasuries, UK Gilts and German Bunds, and took a long position in stocks of gold mining companies profited from the Brexit.... Also, investors who took long positions in the stocks of companies that sold products outside...

Inverse ETFs can be great products for people who are looking to profit from a decline in the value of an index or a commodity without the complications of short selling. Inverse ETFs can be effectively added to hedge an existing portfolio, or used to speculate on a market decline. The demand...

What next??? @GCGodfrey: Grexit, Departugal, Italeave, Czechout, Oustria, Finish, Slovakout, Latervia, Byegium, Swedone.....

Hi @arkabose, As far as implications for the Indian markets (an emerging market) go, foreign institutional investors were purchasing downside protection prior to the Brexit. They were hedging their positions with out-of-the-money puts. Out-of-the-money puts have stock price higher than the...

Hi @QuantMan2318, One good trading strategy, prior to the Brexit, that an investor or a trader could have entered into, was to purchase both a European call and a European put on the FTSE 100. Both of them should have had the same strike price K and expiration date T. Given, that either way...

Hi @seidu, According to European put-call parity, p + S0 = c + Ke-rT...................(1) where p = price of the European put S0 = stock price c = price of European call K = strike price of both call and put r = risk-free interest rate T = time to maturity of both the call and the put...

BTW, both Nicole and David - wish India was not 9.5 hours ahead of EST. It makes it very difficult to read, study, contribute and work in parallel....:(

Hi David, Don't want to get nitpicky about your answer: Alternatively, this could be quoted USDEUR €0.710 which is really EUR €0.710 per $1.0 USD because here USD is the base and EUR is the quote currency I get EUR 0.6991 per $1.0 USD I don't know why...BTW, how do you get the Euro sign? Any...

Thanks David - appreciate the star:) Jayanthi

Hi @hellohi, Good question - the $1.4296/$1.4304 refers to the bid-ask direct quotes. Individual investors, corporations, hedge funds etc. buy at the ask and sell at the bid. In other words, they buy one Euro for $1.4304 and sell one Euro for $1.4296. Banks acting as FX dealers make a market...

Hi @hellohi, Equation (12.13) is the Linear Regression Model with a Single Regressor. It is of the form: Yi = b0 + b1Xi where the suscript i runs over observations, i = 1,...,n Yi is the dependent variable which in our example is (Pt - Pt - 1) = the change in the jet fuel price Xi is the...

Hi @hellohi, As far as I can see equations 12.12 and 12.13 pertain to hedging jet fuel with crude oil futures. It so happens that jet fuel futures do not exist in the US. As a result, the closest substitute is the crude oil futures. Also, crude oil is used to produce jet fuel - and so it makes...

Hi @Kavita.bhangdia, Datacamp is a great site for free courses in R programming and Python. Although I have registered for both, have not found the time as yet...Coursera and www.edx.org are also good sites. I don't particularly care for Coursera because they are in the money minting business...

Thanks Brian - you are indeed a true pal! Best Jayanthi

Thanks for that vote of confidence Brian - much appreciate it! Best Jayanthi

Hi @kik92, I have a Texas Instruments BA II Plus professional. As far as I know, Texas Instruments BA II Plus is one of the GARP approved calculators. You can double check by going to the GARP website. Hope that helps!

Hi @CK2015, In regard to your first question, (1) How did Drysdale manage to obtain $300 million of unsecured loan from Chase? How many parties were involved in the deal? It appears to me that Drysdale borrowed Treasury securities from securities dealers (a syndicate possibly! - don't really...