Managing Positions Pre- and Post-Trade Discussion at RMC Europe

On Tuesday afternoon at RMC Antoine Delga, Equity Derivative Application Specialist, Bloomberg and Gabriel Manceau, Volatility Trader from Barclays covered managing positions pre- and post-trade.

The session covered how to use the Greeks to determine options valuation and risk measures; trades that are “rich vs. cheap” (expensive or inexpensive); how analyzing volatility should affect trading decisions; the impact of scenario and horizon analysis; and managing options positions over time. In Post-Trade, trading risks and challenges, including pin risk, convexity trading and tail risk exposure, were discussed.  One of the topics covered in post-trade was the choice of rolling or exiting a position based on market conditions.