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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: LLCF who wrote (4811)6/11/2001 11:24:47 PM
From: smolejv@gmx.net  Read Replies (1) of 74559
 
What I see is the frog's perspective of the whole process - the retail customer to the OTC selling process, which in case of Germany means app 20.000+ papers, issued by all kinds of different banks (Citibank is pretty much in the first rows, then Deutsche bank etc, see for instance optionsscheine1.onvista.de.

I assume your side of the story passes into their (wholesale) picture of reinsuring their risks etc. On my side I see - for every position I may be shopping around for - a neat (four-digit! - what accuracy ggg) implicite volatility number. My assumption still is, its partly a wild-ass guess ("let's pay some respect to Black&Sholes") and partly a hidden execuse for the spread.

dj
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