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It's not a simplification. It completely misrepresents how market makers make money. They are taking on risk and they have to handle that risk. If you're trying
by Traster 7y ago
It's not a simplification. It completely misrepresents how market makers make money. They are taking on risk and they have to handle that risk. If you're trying to make a nuanced point, then you need to get at least the basic fundamentals of the business model right.
You have written something that doesn't actually say what you mean. Frankly, the fact you think that market makers' management of risk is as relevant to their business model as a receptionist means you either don't have a good handle on what market makers do, or you're MASSIVELY over-paying your receptionists.