Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...
Investors understand intuitively that some stocks are riskier than others. The capital asset pricing model attempts to quantify the common perception of risk using a term called beta. By understanding ...
Despite a recent uptick to a more normal level near 16, the Cboe Volatility Index has averaged around just 12.8 over the past 30 trading days as of July 18, indicating relative calm in U.S. equities.
At FlexTrade, two of the questions we most often hear from our clients about automated trading and algo wheels are: “How should I determine which orders can be auto-routed?” “How many orders do I need ...
Implied volatility is a powerful but often misunderstood metric that plays a major role in options trading. Implied volatility doesn’t tell you what’s going to happen to an option’s price, but it ...
There is no single measure of implied volatility for FX markets, unlike those that exist for the S&P500 or for US interest rates. To fill the gap, banks build their own proprietary indices, such as ...