Because implied volatility is essential for pricing options, analyzing derivative strategies and measuring risk in investment portfolios containing derivatives, understanding variations in implied volatility also becomes vital. Aside from a secular trend, volatility clustering and calendar...

Where can we get good ideas with low cost? Recent researchers probably would suggest “the crowd.” Indeed, crowdsourcing has increasingly been the easiest and most inexpensive method to gain creative/innovative ideas. With the current or potential shortage of R&D resources, firms are...