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Markets

Markets Old Articles

Market Recap 12-11-17

United States While markets hit record highs on Wednesday (Nov. 7), investors concerned about the prospects for tax cuts took the chance to get out of the equity market, pushing the markets down in the last 2 trading sessions of the week. This was probably the reaction to the news Read more…

By BSIC, 9 years12 November 2017 ago
Markets Old Articles

Introduction to Market Microstructure

The market microstructure of electronic markets is a topic that is usually left outside the “standard” set of courses within an academic degree, both at the B.Sc. and at the M.Sc. level. However, some knowledge of market microstructure can be particularly handy for any students willing to build a career Read more…

By BSIC, 9 years12 November 2017 ago
Markets Old Articles

Trading the Dispersion: chapter I

Since the development of the Black-Scholes formula for determination of the price of options, the “implied volatility” has been an ordinary tern in markets participants’ vocabulary. Given the non-linear payoff of options, they can be used to implement trading strategies which are not directional (that is, they are not based Read more…

By BSIC, 9 years5 November 2017 ago
Markets Old Articles

Market Recap 05-11-17

United States Last Thursday President Trump nominated Jerome H. Powell to chair the Federal Reserve, bypassing Janet L. Yellen for a second term but turning to a replacement who is expected to stay the course on monetary policy if the economy continues its steady growth. As a result, investors do Read more…

By BSIC, 9 years5 November 2017 ago
Markets Old Articles

Sliding down the yield curve. How to tackle the slope?

Introduction to the Yield Curve and its Evolution 15 August 1971, the day the Bretton Wood System was dissolved, will remain an important moment in economic history, representing a major shift in our international monetary system, a change in approach to perceived market risk and a departure from the gold Read more…

By BSIC, 9 years5 November 2017 ago
Markets Old Articles

One more (last) round of QE

One more (last) round of QE After 2008, the European Union has faced some serious problems and particularly troublesome was the financial sector after well-known streak of bankruptcies that plagued the whole world. Given the heterogeneity of European nations, it was difficult to find a unique solution for all of Read more…

By BSIC, 9 years29 October 2017 ago
Markets Old Articles

Market Recap 29-10-17

United States Following the “perfect week” of the S&P500, where the index set every day a new positive record, this week the market was characterized by oscillating returns due to the quarterly earnings release. Indeed, even if the majority of reports indicated strong earnings, especially in some of the largest Read more…

By BSIC, 9 years29 October 2017 ago
Markets Old Articles

CDS: from profitability improvement to correlation under crisis

According to the Financial Times, Credit Derivatives market was a $10 trillion market in the beginning of 2017. While this figure has taken a bump from a heyday before the Great Financial Crisis a decade ago, it makes for an essential cornerstone of the finance world. This article will proceed Read more…

By BSIC, 9 years29 October 2017 ago
Markets Old Articles

A Generic Merger: Amneal and Impax Combine To Fight For Survival In The Pharma Industry

Impax Laboratories, Inc. (IPXL:NASDAQ) – market cap as of 27/10/2017: $1.40bn Introduction On October 17, 2017, Amneal Pharmaceuticals and Impax Laboratories announced that they will merge in an all-stock transaction. Amneal will hold c. 75% of the combined entity, whereas Impax shareholders will own the remaining stake (c. 25%). These Read more…

By BSIC, 9 years29 October 2017 ago
Markets Old Articles

Put Your Money Where Your Mouth Is: Grubhub’s Case for Growth

Company overview Grubhub (NYSE: GRUB) is an online food delivery service that connects diners with nearby restaurants. Orders are placed online and are delivered to the user’s doorstep. Restaurants may carry out the delivery themselves or pay Grubhub to do so. The company has over 9.18 million active diners and Read more…

By BSIC, 9 years8 October 2017 ago
Markets Old Articles

First Solar: sunny days at the horizon?

First Solar Inc. is the world’s largest thin-film PV solar module manufacturer and one of the world’s largest PV solar module manufacturers. Our attention toward this company is due to it’s amazing stock performance during this year (+48%) and the fact that it will probably be the main beneficiary of Read more…

By BSIC, 9 years8 October 2017 ago
Markets Old Articles

Market Recap 08-10-17

United States The labour report released on Friday showed, along with encouraging data on US wage growth, some inconsistencies which are likely to be the outcome of distortionary effects caused by the Hurricane Irma. More specifically, the latest non-farm payroll figure is negative (-33,000). This is the first time that Read more…

By BSIC, 9 years8 October 2017 ago
Markets Old Articles

Market Recap 01-10-17

United States The Republican tax reform plan unveiled on Wednesday was the biggest driver of US markets this week. The tax reform plan pledges to affect meaningfully American corporations as Trump announced to cut the corporate tax rate from 35% to 20% (though falling short from the 15% he promised Read more…

By BSIC, 9 years1 October 2017 ago
Markets Old Articles

EUR/USD: The Story of Elections and Hikes

Recent drivers of the Euro/USD exchange rate Despite the divergence in monetary policies between the hawkish FED and dovish ECB, the Euro has been appreciating against the Dollar since the beginning of 2017, registering a +13.44% increase on 1st September. However, in the last two weeks it fell under pressures Read more…

By BSIC, 9 years1 October 2017 ago
Markets Old Articles

How to trade Japanese Elections

Introduction The Japanese PM dissolved the lower parliament on 28th September, initiating the process for the snap elections to be held on October 22nd. We believe that it is a move to secure a fresh mandate in the parliament after Mr. Abe’s association with a series of scandals over the Read more…

By BSIC, 9 years1 October 2017 ago

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From Norway’s currency interventions and the art o From Norway’s currency interventions and the art of optimal trade execution to KKR’s landmark Alliance Boots buyout, China’s AI infrastructure bottlenecks and the future of pharmaceutical dealmaking - this week’s BSIC Weekly explores the forces reshaping global markets and corporate finance.

Discover our latest insights and read the full articles at bsic.it (link in bio).

#BSIC #Bocconi #Finance #Markets #CorporateFinance #Investing
This week, our General Discussion explored the mat This week, our General Discussion explored the mathematics of bet sizing, focusing on the Kelly Criterion and its implications for investment decisions. From the difference between expected wealth and compounded growth to the dangers of excessive leverage, we examined why theoretically optimal strategies can still lead to substantial losses. Through simulations, historical US equity market data and the Grossman-Zhou framework, we discussed how fractional Kelly and dynamic position sizing can help investors balance growth with capital preservation.

Swipe through the carousel to explore the key formulas, graphs and empirical findings discussed during our latest GD.

Read the full article, Bet Sizing: From the Kelly Criterion to Drawdown Control, on bsic.it (link in bio).

#BSIC #Bocconi #Finance #Markets #Kelly
One of BSIC’s distinctive activities, General Disc One of BSIC’s distinctive activities, General Discussions (GDs) bring our research to life. During our weekly meetings, members present and explain the articles they have written, creating an opportunity for the entire club to ask questions, challenge assumptions, exchange perspectives and deepen their understanding of financial markets.

This week, we explored the High-Bandwidth Memory (HBM) industry, a critical component of the AI revolution. As demand for AI computing accelerates, memory manufacturers are experiencing unprecedented growth and supply constraints. But could today’s shortages become tomorrow’s oversupply? Our discussion examined the evolving balance between memory capacity and bandwidth, the implications of changing AI workloads, and the potential consequences for industry leaders such as SK hynix.

Swipe through the carousel to discover the key insights, graphs and investment scenarios discussed during our latest GD.

Read the full article, Understanding the HBM Industry, on bsic.it (link in bio)

#BSIC #Articles #Bocconi #CorporateFinance #HBM
From the future of US Treasuries and AI-driven tra From the future of US Treasuries and AI-driven trading strategies to UBS’s battle with Swiss regulators, Nike’s struggles and Germany’s shift from cars to defence - this week’s BSIC Weekly explores the forces reshaping global markets and corporate finance.

Read the full articles on our website.

#BSIC #Bocconi #Finance #Markets #CorporateFinance #Investing #Articles
A record recruitment season for BSIC. We are prou A record recruitment season for BSIC.

We are proud to welcome an exceptional group of new members to BSIC and look forward to seeing their contributions to the Club in the semesters ahead.

Thank you to everyone who applied and took part in our recruitment process, and congratulations to all our new joiners!

#BSIC #Bocconi #BocconiUniversity #Finance #InvestmentClub #Recruitment
From bet sizing and optimal hedging to the infrast From bet sizing and optimal hedging to the infrastructure and financing behind the AI boom - this week’s BSIC Weekly explores the forces reshaping markets and corporate finance, from HBM and hyperscaler capex to private equity’s growing use of insurance capital.

Read the full articles on our website.

#BSIC #Bocconi #Finance #Markets #CorporateFinance #Investing #Articles
From Mexico’s yield curve and AI-driven trading mo From Mexico’s yield curve and AI-driven trading models to sponsor reputation, rising yields and Europe’s race for powered land - this week’s BSIC Weekly is out.

Read the full articles on our website.

#BSIC #Bocconi #Finance #Markets #CorporateFinance #Investing #Articles
Last call! BSIC applications close TODAY! If you’ Last call! BSIC applications close TODAY!

If you’ve been thinking about joining us, this is your final chance. Submit your application by 11:59 AM and take the first step towards becoming part of BSIC.

Applications close at 12:00 PM.

#BSIC #Bocconi #Recruitment #Finance #StudentAssociation
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