tag:blogger.com,1999:blog-6704573462403312459.post3179229475554392423..comments2024-03-28T06:53:23.473-04:00Comments on Moneyness: The difference between two colourful bits of rectangular paperJP Koninghttp://www.blogger.com/profile/02559687323828006535noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-6704573462403312459.post-46082224801219078722019-05-03T06:03:44.712-04:002019-05-03T06:03:44.712-04:00Good comment Jussi. I'm thinking it over.
And...Good comment Jussi. I'm thinking it over.<br /><br />And good post JP.Nick Rowehttps://www.blogger.com/profile/04982579343160429422noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-54341883084985582342019-05-02T11:59:28.757-04:002019-05-02T11:59:28.757-04:00Funny thing is that usually follower beta prices a...Funny thing is that usually follower beta prices are changed (as inverse of interest rate) to hit the target alpha leader price. Alpha is always backed by her pack?Jussinoreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-45484237813569640322019-05-01T08:54:12.965-04:002019-05-01T08:54:12.965-04:00Here The central bank, with its assets mainly T Bo...Here The central bank, with its assets mainly T Bonds , is a conduit between the T bonds and the fed note holder, smoothing out fluctuations in exchange rates and market value of bonds. In fact this is what commercial banks do, they have multitudes of loan contracts of different risk and interest rates, and the holder of a deposit has a steady value deposit.Dinerohttps://www.blogger.com/profile/14632385731642361211noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-71814059957764945212019-05-01T08:18:49.816-04:002019-05-01T08:18:49.816-04:00Good question. First there's a technological h...Good question. First there's a technological hurdle. Can they build a payments system that allows people to buy their coffee with fractional Facebook shares? The second hurdle involves mental transaction costs. Is there something that prevents people from wanting to deal away Facebook shares, bitcoin, bonds, etc? I wrote a bit about the second hurdle here: <br /><br />https://jpkoning.blogspot.com/2018/12/can-lottery-tickets-become-money.htmlJP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-69417347829469462342019-05-01T07:03:03.035-04:002019-05-01T07:03:03.035-04:00That's right. And interest rate changes will a...That's right. And interest rate changes will affect different $500 bonds differently since duration will vary by vintage.JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-79395888331371353922019-04-30T13:08:54.847-04:002019-04-30T13:08:54.847-04:00Hi JP. How would this all change if our mobile de...Hi JP. How would this all change if our mobile devices (inlc POS) and electronic transfers were to instantly solve for all these computational inconveniences? Would this allow for functioning decouplement of medium of account from medium of exchange? And where would it lead us? Thank you. -Maxmaxhttps://www.blogger.com/profile/16612074700526102445noreply@blogger.comtag:blogger.com,1999:blog-6704573462403312459.post-23851529886165090662019-04-30T11:09:50.982-04:002019-04-30T11:09:50.982-04:00Also interest rates in the financial markets and t...Also interest rates in the financial markets and the market price of new bonds being issued effects the market rate of existing bonds.Dinerohttps://www.blogger.com/profile/14632385731642361211noreply@blogger.com