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Non-Tech : Derivatives: Darth Vader's Revenge

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To: Worswick who wrote (371)10/5/1998 12:13:00 PM
From: Henry Volquardsen  Read Replies (1) of 2794
 
Clark,

The banks trade derivatives for their own accounts but they are also very active in selling derivatives to clients. There is a lost of profits for an efficient market maker.

Goldman and the others make a lot of money from derivatives but that is hardly their only source of income. They make a lot of money on underwriting and m&a activity.

Henry
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