In this article, we analyze active management based on active return, active risk and information ratio based on the Swedish option market. Active return is the difference in returns between a portfolio and the index or benchmark that is measured. Active risk or tracking error is the standard...

In this article, we estimate the payoff of an interest rate cap and floor on a LIBOR with different interest rates from a collar interest rate. An interest rate cap is a contract in which one party agrees to pay the other at specified period of time when the LIBOR with different interest rates...

We analyze the implied volatility on a call Nordea option contract with one and two period binomial tree model. We found that the call Nordea option contract is overpriced in the two period binomial tree models than the one period binomial model. The call Nordea option contract show high...

In this article, we apply the accelerator theory to test the relationship of Gross domestic product, GDP, and total government investments of the Greek economy. In other words, how an increase in national income measured by the GDP affect total government investments in an aggregate level. The...

This paper examines in detail the literature review of hedge funds performance persistence. Hedge funds are also known as alternative investments that are suited to institutional investors or wealthy investors with significant experience and knowledge in investment. They are used to hedge...

Python is very useful language programming in modeling investment exercises, crypto currency blockchain of the hash rate, financial derivatives and their related Greeks symbols. I would like to thank the Schweser Kaplan organisation for the professional education that covers the syllabus of the...

In this paper, we study the wlm digital crypto currency using binomial, Poisson distribution and application in C++. The initial coin offerings price is 0.20 USD. The circulation of the wlm digital currency is expected in September 2021 at www.crypto.com after a crypto currency license is...

The interaction of arbitrageur's and noise trading from a Behavioural orthodox approach is a new area of research. Noise traders are misled and they are making decisions not on data and forecasts, but based on their personal opinion. Their wrong estimate creates discount persistence throughout...

Mathematical explanation of noise trading from a behavioural Orthodox approach is a complete new subject of research. My model tries to calibrate noise in terms of systematic errors and biases formed by noise traders, as they ignore the religious factors that affect their thoughts and therefore...

Discount persistence explanation from a behavioural point of view is a new area of research for both academics and practitioners. There have been different attempts to explain the discount deviation by using the limits of arbitrage theory, and psychological theory in terms of conservatism and...