The black-scholes-Merton equation doesn’t model the stocks for a profitable trading strategy, it models the no-arbitrage price for a derivative. This is a fundamental misunderstand of the math
"applying energy and brilliance to solving the WRONG GODDAMN PROBLEM" is a pretty fair summary of the entire history of the economics/ finance sector of human endeavor.
For anyone actually interested in finance, I do not recommend this video. Most of the ‘facts’ presented in this video, such as the Black-Scholes (Merton) model are partially or completely misrepresented. This serves as a glorified advert for something most professionals label as a scam. For the rest of you, take this video with a handful of salt. It was entertaining, but not informative. I am open to argument about this in the comments.
This was a very informative video. You have definitely opened my eyes to the world that is the stock market. I also enjoyed the light hearted and "jokey" format that you shot this in. I will definitely try to book a consultation soon! Thank you!
you really think black and scholes didn't deserve the nobel prices? Also, who are you to sell a course for $499.99/month? What are you credentials for such sums. The video gernally has no real value besides beeing an ad for a trading platform, real boring stuff
These formulas and models only work if no one else knows them. If everyone knows them, people will just buy and sell mispriced stocks. Until they are no longer mispriced. The mathematician that discovered black-scholes before it was published made billions. And Kelly's criterion isn't even about predicting prices. It's mostly about diversification, not putting all your eggs in one basket.
The large-scale purpose of the stock market and investing in general is to get money to companies that will use it well- to get humans to look at the situations of particular companies like whether management is doing a good job. A bot looking at just trade prices can mostly only capture how people react to prices and buying/selling from each other but not the meaningful reasons for stock changes.
Prove me wrong. Making all these calculation is not diferent from asking a friend or ect to tell me were to invest my money. Why? Because, the risk is tge same...and it does not change the risk. (Jk: the market risk is there.but the variable porcion of the risk is diferent for the two....in real life.)
The black-scholes-Merton equation doesn’t model the stocks for a profitable trading strategy, it models the no-arbitrage price for a derivative. This is a fundamental misunderstand of the math
“No one can solve financial math except me”
"applying energy and brilliance to solving the WRONG GODDAMN PROBLEM" is a pretty fair summary of the entire history of the economics/ finance sector of human endeavor.
How come this chanel only have 100s subscribers. Keep posting man, your videos are amazing, you have potential to grow fast.
For anyone actually interested in finance, I do not recommend this video. Most of the ‘facts’ presented in this video, such as the Black-Scholes (Merton) model are partially or completely misrepresented. This serves as a glorified advert for something most professionals label as a scam.
For the rest of you, take this video with a handful of salt. It was entertaining, but not informative. I am open to argument about this in the comments.
Thought I was watching a channel with hundreds of thousands of followers…
I didn't notice til I saw your comment. Thought the same thing.
Same
This was a very informative video. You have definitely opened my eyes to the world that is the stock market. I also enjoyed the light hearted and "jokey" format that you shot this in. I will definitely try to book a consultation soon! Thank you!
you really think black and scholes didn't deserve the nobel prices? Also, who are you to sell a course for $499.99/month? What are you credentials for such sums.
The video gernally has no real value besides beeing an ad for a trading platform, real boring stuff
subscribed🤝
These formulas and models only work if no one else knows them. If everyone knows them, people will just buy and sell mispriced stocks. Until they are no longer mispriced. The mathematician that discovered black-scholes before it was published made billions.
And Kelly's criterion isn't even about predicting prices. It's mostly about diversification, not putting all your eggs in one basket.
The large-scale purpose of the stock market and investing in general is to get money to companies that will use it well- to get humans to look at the situations of particular companies like whether management is doing a good job. A bot looking at just trade prices can mostly only capture how people react to prices and buying/selling from each other but not the meaningful reasons for stock changes.
Absolutely amazing Video!!! Love the editing, it's really entertaining! Make more, you'll get loads of subs!
Prove me wrong. Making all these calculation is not diferent from asking a friend or ect to tell me were to invest my money. Why? Because, the risk is tge same...and it does not change the risk. (Jk: the market risk is there.but the variable porcion of the risk is diferent for the two....in real life.)
I learned absolutely nothing from this video. waste of time
I work in coding trading strategies. Let me tell you. Yes. Lmfao
I did subscribe
Great vid
This is great
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