Quote:
Originally Posted by farris
...Given the recent reports of an escalated chance of some form of terrorist strike, are you guys adjusting your portfolio?
No, I'm not, because I don't think I have any more information on that issue than the rest of the market. Thus, I assume that the markets generally have taken that information into account when pricing that issue.
Also, there's a probability risk (0-1) of a terrorist attack taking place, and while you are right that prices might move
if there is an attack, there's also a probability that the attack not take place, and you would suffer as a result if your wager did not win.