How are most of the equity derivative guys keen in poker?

Very common stereotype and among the equity derivatives guys I've talked to it has proven true.  Also fairly common to see in commodity trading which I understand because at the end of the day it's more of a people's business and many processes because you're moving physical.

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running a book is about optimizing risk management and deciding what kind of risks you want to take under different scenarios since you can’t just hedge them all. What’s more important than delta is your vanna, gamma, d gamma d spot, and occasionally div/repo. Risks change under different spot/vol dynamics. If you decide to be long vega, should it be a skew position or gamma position via calendars and then you ask what’s my carry like.

 

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