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This isn't a news article. It's a newsletter that targets people who care about finance and everything else, but definitely finance. Rates vol means volatility
by barry-cotter 5y ago
This isn't a news article. It's a newsletter that targets people who care about finance and everything else, but definitely finance. Rates vol means volatility in rates of interest. Long gamma means has investements for which the thesis (bet) is that gamma will rise, whatever gamma is.
- ZephyrBlu 5y agoGamma is one of the greeks. They are used in finance to describe derivatives related to options. https://www.investopedia.com/terms/g/greeks.asp https://www.investopedia.com/terms/g/greeks.asp
- conformist 5y ago"Long Gamma" in sloppy-Black-Scholes-lingo means essentially to bet on increasing realised vol, i.e., in this case on rates moving a lot, regardless of the direction. Cf https://quant.stackexchange.com/questions/39619/gamma-pnl-vs-vega-pnl https://quant.stackexchange.com/questions/39619/gamma-pnl-vs...