This note is the result of a discussion following the presentation by M. Jeanblanc, 'The Role of Information'. She referred to the impact of a world of 'extra-informed' market participant. As practitioners, we tend not to pay much attention to this consideration. Indeed, before Lehman defaulted,...

Nowadays, the awakening of consciences pushes many people to redefine "profit": One can benefit economically to shareholders while being harmful to the environment, to the citizens or to the populations living in the locality where a company is established. The purpose of this article is to give...

After Lehman default (credit crisis which started in 2007), the industry wakes up within a new world where nobody is to big to fail. Many adjustment have to be made to the old - classic theory. As a result of the market incompleteness, the risk neutral measure became a risk neutral measure. As...

The recent troubles in the financial industry leads market participants to reconsider some strong pricing assumptions such as the completeness of the market (mathematically, there is not only one risk neutral probability, financially speaking all tradable asset can be replicated in different...

Following the previous works of Kamtchueng, we explain in more details, how to use the CVA Implied Volatility considering at the same time the netting arbitrage between a derivative and its hedging portfolio. Trough concrete pricing examples, we will demonstrate the advantages and the limitation...