blogs.wsj.com - 12/16/2008
—
The options strategy reportedly employed by Bernard Madoff has been referred to by the jazzy name of “split strike conversion ,” but in reality, it is what most active in options know as “using collars.” As strategies go, it’s a plain-vanilla, basic strategy employed often, usually with ...
traderdaily.com - 12/16/2008
—
traderdaily.com —
A federal judge ordered the U.S. operations of
Bernard L. Madoff Investment Securities LLC to be liquidated,...
as fresh details emerged of trading discrepancies that offer clues as to how the New York broker may have run the epic scam alleged by ...
(more)
Madoff’s Options Strategy Debunked
Comments
Blog Reactions
Tuesday links: another Ponzi post
Abnormal Returns —
... Madoff’s strategy supposedly used options, but it never added up. (MarketBeat ...
Weakened At Bernie's
Daily Options Report —
... a very simple position to analyze, You will forego some upside profits in return for very limited downside exposure. The only way you will really outperform on the strategy is if the market tanks and you limit your losses. I supposed if the market sputtered up, you will achieve consistent small positive returns. But you would do the same thing just owning the stock. If this stock goes from 75 to 80 for example, you'll match the market. Now Madoff had a *twist*. As per the Journal Mr. Madoff was using options on Standard & Poor’s 100 futures ...
Related Content
Options Trading
optiontradingpedia.com 12/10/2008 — Why learn options trading by attending seminars for thousands of dollars when you can learn for yourself FOR FREE?
MarketBeat : Rising Options Prices Could Be Propelling Stock Swings
blogs.wsj.com 10/10/2008 — Hmmm Tennille Tracy reports: The options market has become an expensive place to do business in recent days, and that could be contributing to wild swings in the stock market. The options market often serves as a buffer to the stock market, providing ...
A Republican Strategy For Stimulus
forbes.com 1/16/2009 — Republicans in Congress are clearly groping for a strategy to deal with the economic crisis and, as yet, have no real alternative to Barack Obama's plan. So far, they're are all over the map, ranging from total opposition to any stimulus to rote ...
Using Covered Call Options Strategy for cutting losses on financials
valueinvestingnews.com 4/11/2009 — The current bear market has been a heaven for sellers of covered calls. I have mentioned earlier the pros and cons of selling covered calls. Typically I am not a big believer in cutting my profits and lowering my risk reward expectancy in exchange ...
If Only the S.E.C. Had Taken Madoff’s Advice
dealbook.blogs.nytimes.com 12/17/2008 — With Bernard L. Madoff’s ties to the Securities and Exchange Commission being put under a microscope this morning, we thought we would point out that, just a few years ago, Mr. Madoff was actually advising the commission.
Yes, in 2000, Mr. ...
Turn-of-the-Month Strategy
marketsci.wordpress.com 12/22/2008 — My recent posts about stock market strength around options expiration week left out two important parts of the month – the beginning and the end. In this report, I’ll share a strategy for trading the turn-of-the-month. This observation will be added ...
Madoff's World
vanityfair.com 3/4/2009 — O ver dinner in New York one night in January, I was airing my frustration concerning Bernard Madoff. Everybody had read about the losses he had inflicted on foundations associated with Steven Spielberg, Elie Wiesel, and Mort Zuckerman, I told my ...
Tuesday links: another Ponzi post
abnormalreturns.com 12/17/2008 — Madoff’s strategy supposedly used options, but it never added up. ( MarketBeat , Barrons.com )
When did Madoff go Ponzi ? ( Curious Capitalist )
“Why did so many smart people get suckered into losing billions on an implausible ...
Follow WallStreetBlips on Twitter
