August 2010
Beginner
251 pages
7h 20m
English
Content preview from Principles of Quantitative DevelopmentBecome an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
O’Reilly covers everything we've got, with content to help us build a world-class technology community, upgrade the capabilities and competencies of our teams, and improve overall team performance as well as their engagement.I wanted to learn C and C++, but it didn't click for me until I picked up an O'Reilly book. When I went on the O’Reilly platform, I was astonished to find all the books there, plus live events and sandboxes so you could play around with the technology.I’ve been on the O’Reilly platform for more than eight years. I use a couple of learning platforms, but I'm on O'Reilly more than anybody else. When you're there, you start learning. I'm never disappointed.I'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.
4.4 ASSET-CLASS VIEW
Trading desks are primarily organized under asset classes. We have trading desks dealing with fixed income (FI – bonds trading), equities (EQ – stocks), foreign exchange (FX or forex – currencies), commodities (COM – precious and base metals, energy, etc.), interest rate derivatives (IRD – swaps) and so on. Because of this organization, traders use an asset-class-based paradigm to view trades and trading systems.
The hierarchy of trading desks, however, is much more complicated than simple asset class categorization. We have derivatives trading desks, structured products, exotics, day trading, etc. These desks may be organized by asset classes or by the nature of their activity. Thus, a commodities structured products trader may have a reporting line that does not go through the rest of the commodities or energy trading. However, looking at their skillset and knowledge requirements, it is best to view trading desks under their asset class banner.
The trading platform interacts with the trading desks at the input (booking) as well as the output (reporting) levels. Although many of the input and output requests are asset-class-specific, some of them cut across all asset classes. The generic requests are, for example, sensitivity and scenario analysis reports. An example of a scenario analysis is given in Table 4.1 and Figure 4.3. (This analysis is performed using the pricing program that comes with this book.) In a deployed environment, such reports would be ...
Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.
Read now
Unlock full access
More than 5,000 organizations count on O’Reilly
O’Reilly covers everything we've got, with content to help us build a world-class technology community, upgrade the capabilities and competencies of our teams, and improve overall team performance as well as their engagement.Julian F.
I wanted to learn C and C++, but it didn't click for me until I picked up an O'Reilly book. When I went on the O’Reilly platform, I was astonished to find all the books there, plus live events and sandboxes so you could play around with the technology.Addison B.
I’ve been on the O’Reilly platform for more than eight years. I use a couple of learning platforms, but I'm on O'Reilly more than anybody else. When you're there, you start learning. I'm never disappointed.Amir M.
I'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.