Hedging and the Black Scholes Model: Part 2

Hello again, I hope you have been enjoying the beautiful weather this weekend! It truly feels like spring has arrived.  Today we will continue with our analysis of options. In particular, I will break down a few hedging and volatility strategies. However, we must first consider two fundamental concepts: moneyness and intrinsic/extrinsic value. The intrinsic

Hedging and the Black-Scholes Model: Part 1

I recently started studying the Securities Education Certificate run by Imperial Investment Society. As part of this, I have gained an insight into derivatives such as options. These are particularly intriguing, as they provide a fundamental way to hedge investments, and the pricing of such instruments involves quite a bit of mathematical framework. Before we

Arm and Nvidia: The Multinational Clash

In the Summer of 2020, it was announced that the US tech firm Nvidia had entered talks to buy UK chip designer Arm for $40bn. If this acquisition were to proceed, this would be the largest ever in the semiconductor industry. However, over half a year has passed, and we do not seem any closer

The Uprising GameStop Saga

Hello, I hope you are doing well and staying safe in these unprecedented times. In this blog, I will be discussing recent events that upended Wall Street by a company known as GameStop or GME for short. To discuss the current events related to GameStop, it is important that we are aware of the previous