pair trading: collaboration in finance

19
PAIR TRADING: COLLABORATION IN FINANCE EVAN LEYBOURN

Upload: evan-leybourn

Post on 15-Jul-2015

70 views

Category:

Economy & Finance


3 download

TRANSCRIPT

Page 1: Pair Trading: Collaboration in Finance

PAIR TRADING: COLLABORATION IN FINANCEEVAN LEYBOURN

Page 2: Pair Trading: Collaboration in Finance

Evan LeybournLean / Agile Business Leader and Author

Melbourne, Australia

@eleybourn

http://theagiledirector.com

CLICK TO DISCOVER MORE

Page 3: Pair Trading: Collaboration in Finance

AN AGILE TECHNIQUE TO

IMPROVE THE QUALITY AND PRODUCTIVITY OF STOCK TRADING

Page 4: Pair Trading: Collaboration in Finance

THIS IS A SIMPLE IDEA

TWO ROLES:1. DRIVER – WHO TRADES2. NAVIGATOR – WHO ADVISES

Page 5: Pair Trading: Collaboration in Finance

SIMPLE RULES

ROLES SWITCH EVERY ½ - 1 HOUR

Page 6: Pair Trading: Collaboration in Finance

SIMPLE RULES

PAIRS SWITCH EVERY DAY

Page 7: Pair Trading: Collaboration in Finance

HARD TO SELL, BUT

MASSIVE INCREASE IN QUALITY FOR ~15% COST OVERHEAD

Page 8: Pair Trading: Collaboration in Finance

SOME ADVANTAGES

1. HIGHER QUALITY TRADES

Page 9: Pair Trading: Collaboration in Finance

SOME ADVANTAGES

2. SKILLS AND KNOWLEDGE TRANSFER

Page 10: Pair Trading: Collaboration in Finance

SOME ADVANTAGES

3. SHARED KNOWLEDGE OF INDUSTRY AND COMPANIES

Page 11: Pair Trading: Collaboration in Finance

SOME ADVANTAGES

4. JUSTIFIABLE TRADES

Page 12: Pair Trading: Collaboration in Finance

SOME ADVANTAGES

5. RESILIENCE TO INTERRUPTIONS

Page 13: Pair Trading: Collaboration in Finance

PITFALLS AND DISADVANTAGES

1. COSTS MORE IN THE SHORT TERM

Page 14: Pair Trading: Collaboration in Finance

PITFALLS AND DISADVANTAGES

2. A SOCIAL SKILL THAT TAKES TIME TO LEARN

Page 15: Pair Trading: Collaboration in Finance

PITFALLS AND DISADVANTAGES

3. REQUIRES BOTH TO BE ACTIVELY ENGAGED ALL THE TIME

Page 16: Pair Trading: Collaboration in Finance

PITFALLS AND DISADVANTAGES

4. BONUSES NEED TO BE SHARED ACROSS THE TEAM

Page 17: Pair Trading: Collaboration in Finance

UNSURE ABOUT THE VALUE OF PAIR TRADING

EXPERIMENT, MEASURE AND EVALUATE

Page 18: Pair Trading: Collaboration in Finance

TO READ THE FULL ARTICLE VISIT: HTTP://AGILEBUSINESSMANAGEMENT.ORG

CLICK HERE TO DISCOVER MORE

Page 19: Pair Trading: Collaboration in Finance

TO LEARN MORE, CHECK OUT

DIRECTING THE AGILE ORGANISATIONBY EVAN LEYBOURN

AVAILABLE AT AMAZON AND ALL GOOD BOOK STORES

CLICK HERE TO DISCOVER MORE