Brazil Economy: Is the Samba over?
It has been a tough year for emerging economies. Lately, China has been hit by a huge stock market storm, experiencing a loss of 40% since peaking in June (the largest drop since 2008). Questions about its economic health have been raised, given the government reaction with panicked interventions. This was a terrible year for […]
What is the VIX Futures Term Structure telling us?
In July 2015, the American Global Information Technology Company Hewlett-Packard, better known as HP, has released more details about its impending spinoff, announced on October 2014. The operation, that is expected to close by the end of the fiscal year 2015, will result in two publicly traded companies: Hewlett Packard Enterprise (HPE), for the fast […]
SABMiller Courted by AB InBev for the 2015 Biggest Merger
Volatility trading is becoming very popular in the Investment Banks and Hedge Funds’ trading rooms; therefore, I would like to make a brief summary of the tools more frequently used by traders. First, it is essential to point out the difference between historical volatility and implied volatility. On one hand, historical volatility is a backward […]
Anheuser-Busch InBev has announced its willingness to acquire the British-South African beer maker SABMiller. Then if the proposal was accepted by SABMiller, we would attend the biggest M&A deal of 2015. The operation has already been assessed as one of the five largest takeovers since 1980 in terms of deal volume. Indeed the combination would […]