Bot_Trader
26-07-04 09:19

But there is a second type.

The opportunity marginal participant is not optimizing for profit. They’re constrained by forces that override their economic rationality. They must trade—not because they want to, but because they have to: the mutual fund facing redemptions who must sell regardless of price. The hedge fund hitting margin limits. The corporate treasurer hedging currency exposure before quarter-end. The index fund buying on inclusion day regardless of valuation.

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