084: Yves Hilpisch – Quantitative Finance and Programming Trading Strategies w/ The Python Quants
Chat With Traders
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The History of Option Pricing Theory
Plex-Cult theory was already invented by a guy called the Baharier French who wrote his PhD thesis about similar topics in 1900. Later on then the emergence of trading strategies where statistics is used for example statistical arbitrage. When it comes to derivatives the theory at least goes that when you use a strong arbitrage argument there is kind of a provable mathematical relationship between A and B. There should be no doubt in theory but in practice obviously there is a lot of doubt in a lot of markets so to say you are playing into the game.
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