Options, Futures and Other Derivatives suggestion.

I have started reading through Hull to learn more about options and derivatives. I have no previous experience in or knowledge of derivatives. Could someone tell me which chapters must I complete to be ready for internship interviews?

 

Imo... This book is too advanced for you and it is HUGE. For someone who has no knowledge of derivatives, it is going to get confusing. I say try something easier smaller in terms of size. Google "CFA Level 1 Investopedia and learn from there"...This book gets into the math implications as far as options pricing, delta-gamma-vega approximation, basis hedging, etc... and if you want to get ready for an interview, you Won't have time to learn all of it. Learn the basics and move on. And get back to the more advanced stuff when you can.

 

I guess if he wants to have basic intuition. But I work on the vol desk, personally, I would rather learn the basics (Maybe learn this from trading first?), understand the market structure, then work my way up to option strategies, black Scholes, managing the greeks, implied volatility, vol surface...

That's good that worked for you, I wouldn't be able to do that.

I think it would be better to learn from the textbook than to trade immediately and waste time. His P/L will fluctuate from many factors, so he won't know what to ask.

 

Actually I am at a B School but I cannot start with Financial Markets subjects until next trimester. So that's why I was planning to start learning on my own about options, futures and other products. Since Hull is such a vast book so I was not sure exactly which chapters do I need to study to be able to face interviews.

Still thanks a lot for the comments...

"The markets are always changing , and they are always the same."
 
Best Response

Voluptas vel accusantium id animi cumque. Veritatis maxime rerum dolore exercitationem.

Error ut suscipit doloribus veritatis assumenda aut laborum. Laudantium at amet est dolor. At expedita fuga magnam laboriosam qui suscipit.

Voluptatibus dolores eaque et iure maxime voluptatem voluptas. Culpa quia rerum id doloremque. Quam sint nemo et aut. Qui consequatur laborum molestiae et beatae quas quibusdam minima. Nihil numquam rerum nemo corporis quia ut.

Quae iusto ut laborum ipsa. Ea rerum hic similique perferendis suscipit voluptatem dignissimos nemo. Ut et ullam at rerum veniam quia veniam.

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (13) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (202) $159
  • Intern/Summer Analyst (144) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
kanon's picture
kanon
98.9
6
CompBanker's picture
CompBanker
98.9
7
dosk17's picture
dosk17
98.9
8
DrApeman's picture
DrApeman
98.9
9
GameTheory's picture
GameTheory
98.9
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”