ny undergrad? - Page 7

The Financier · 08-30-2012, 08:37 PM

Quote:

Originally Posted by Rant

How confident are you that you have an edge?

In poker you can often clearly see your edge when a fish does something incorrect. Trading is not nearly as clear.

Have you read 'Fooled by Randomness'?

The edge in equity day-trading is dying. You need to have an information edge. Even boutique research firms like Cleveland Research are sucking. Helps to know when a big RM or HF is buying/selling. Equity traders are on the phone non-stop fishing for information.

Jason Strasser (strassa2) · 08-30-2012, 08:38 PM

Quote:

Originally Posted by Rant

How confident are you that you have an edge?

In poker you can often clearly see your edge when a fish does something incorrect. Trading is not nearly as clear.

Have you read 'Fooled by Randomness'?

This is a very smart question and it is much harder to quantify edge in finance. For certain strategies it is also very hard to get enough data points to separate noise and performance.

The strategies that trade a lot are obviously easier to quantify edge. For strategies where quantifying edge is harder (low turnover, concentrated strategies), you really need to hear the trader work through his/her thought process and make a judgement as to whether he/she has edge. It's not cut and dry like poker.

Yes I've read that book. Very easy read, especially for a poker player.

BoredSocial · 08-30-2012, 10:19 PM

I read the WSJ article yesterday about how hedge funds might be allowed to start advertising. And I thought of this thread

If that happens what line will your fund take?

hanster · 08-30-2012, 10:31 PM

Quote:

Originally Posted by Jason Strasser (strassa2)

Single to noise ratio is terrible on twitter. That being said, if a stock is moving and I don't know why, and I go through my progressions (check the wires, ask a couple banks, etc.) and I come up dry, I check twitter. Sometimes there's something useful on there. I search for $ABX or whatever and I look to see if any of my followers are talking about the stock. If not, I filter for all and check the twitter universe.

When I was at MS we looked at a couple companies that were developing software to parse twitter. They claimed that you could've known about the earthquake in Japan something like 3-4 minutes before anyone else. Clearly some smart people are looking into this, and there are a few funds that trade off of twitter.

I find it also helpful for my morning routine... My twitter followers post cool articles and I read them in the morning.

Those are my 2 main uses. I don't really look for many long term investing ideas here. News + WTF going on??

You should try it, I was skeptical at first also.

I know of a fund that was seeded and traded primarily based off of Twitter but failed miserably and blew up. However i do believe there is a lot of info out there on the social networks that could be used to determine trending for retail as well as new markets.

Also twitter guys I follow that weren't on your list
@tmtanalyst
@philipetienne
@ppearlman
@marketfolly
@hedgieguy
@hedgefundinvest

Jason Strasser (strassa2) · 08-31-2012, 09:15 AM

Quote:

Originally Posted by BoredSocial

I read the WSJ article yesterday about how hedge funds might be allowed to start advertising. And I thought of this thread

If that happens what line will your fund take?

No idea--need to see what the actual rules are before you can figure out what to do, if anything.

Rant · 08-31-2012, 12:17 PM

On edge -

There are times that people are trading for reasons other than long-term profit. For example hedging.

Is it possible to be on the other side of not-for-profit positions or is there enough money out there chasing these things that the price corrects too much? Airlines hedge fuel prices for example but that market is so huge that the hedge probably doesn't move the price enough to profit from?

I'm wondering if you can see your edge with this much clarity? - You understand why things are miss-priced and there is a complete-ish explanation for why the whole thing makes sense, why the other guy is on the other side? As opposed to just thinking something is miss-priced but not understanding why. Those are very different.

Just assuming that you are better at valuing things than everyone else is quite dangerous IMO. Even a solid track record can just be variance so easily.

Two SHAE · 09-17-2012, 11:59 PM

sent you a pm

Barbie · 01-10-2013, 04:26 PM

yo did i get da job>? i put in a appy a few days ago did i get the job?

i have some issue im on parole i just got outta prison, funny thing was i hit my boss while sleeping on the job i don't like to be messed with that's outta line also

2) i'm more of an entrepreneurial type person so I really want to be able to leave work when i want.

3)lets sell some hedge funds or whatever we gotta do get paper!

PrimordialAA · 01-10-2013, 04:46 PM

^^ pretty sure you got the job

, well done!

Gasoline · 01-11-2013, 01:14 PM

At what level of market cap do you feel you have the greatest edge, small, medium or large cap?

Jason Strasser (strassa2) · 01-11-2013, 09:59 PM

Quote:

Originally Posted by Gasoline

At what level of market cap do you feel you have the greatest edge, small, medium or large cap?

If transaction costs were all the same (bid offer spread) in options, the answer would be the biggest edge would be in the smaller names. But because options are so much cheaper (in terms of spread you are paying vs mid-market) for the larger stocks, and you can do real size when you see something you like, its a tougher answer.

Jason Strasser (strassa2) · 01-11-2013, 10:05 PM

Quote:

Originally Posted by Barbie

yo did i get da job>? i put in a appy a few days ago did i get the job?

i have some issue im on parole i just got outta prison, funny thing was i hit my boss while sleeping on the job i don't like to be messed with that's outta line also

2) i'm more of an entrepreneurial type person so I really want to be able to leave work when i want.

3)lets sell some hedge funds or whatever we gotta do get paper!

I know a few funds you'd fit in really well at.

Jason Strasser (strassa2) · 01-11-2013, 10:29 PM

Ive met a lot of really good people by starting this thread, one of our interns last semester I found here. If you are interested in finance shoot me a PM with your background. The bare minimum is competency with excel and intelligence.

Two SHAE · 02-02-2013, 12:16 AM

Did you get the office back yet? Hope all is well

Evan