I had the fortune to start my trading career in 1987 — more exactly, on 19 October, the day the market crashed.1 The bank had hired me in September after my graduation from engineering school, but 19 October was the first day I had set foot on the floor, owing to my boss’s intuition that there would be something worth watching and learning in there that day. I remember a distinct feeling which I would later recognize as philosophically-charged and which spontaneously imposed itself on me as I stood by the pit and watched the fast trading activity. (I couldn’t trade myself as I was still an apprentice — I could only watch.) Simply, I became convinced that there was more going on, in producing the events and their succession, than the mere chain of causes and effects that unfolded in chronological time.
KeywordsMarket Price Option Price Stochastic Volatility Random Generator Implied Volatility
Unable to display preview. Download preview PDF.
- 2.Nassim Taleb, Antifragile: How to Live in a World We Don’t Understand (London and New York: Penguin Books, 2012).Google Scholar
- 3.Jean Baudrillard, Impossible Exchange, translated by Chris Turner (London and New York: Verso, 2001).Google Scholar
- 4.Julian Barbour, The End of Time: The Next Revolution in Physics (Oxford: Oxford University Press, 1999). In an interview with Edge, Barbour says: ‘My basic idea is that time as such does not exist. There is no invisible river of time. But there are things that you could call instants of time, or “Nows”. As we live, we seem to move through a succession of Nows, and the question is, what are they? They are arrangements of everything in the universe relative to each other in any moment, for example, now. […] I suggest that our belief in time and a past arises solely because our entire experience comes to us through the medium of static arrangements of matter, in Nows, that create the appearance of time and change’ (https://edge.org/conversation/the-end-of-time).Google Scholar
- 6.David Wood, Thinking After Heidegger (Cambridge: Polity, 2002).Google Scholar
- 7.Quentin Meillassoux, After Finitude: An Essay on the Necessity of Contingency, translated by Ray Brassier, (London: Continuum, 2008).Google Scholar
- 8.François Laruelle, The Concept of Non-Photography/Le concept de non-photographie, translated by Robin Mackay (bilingual edition, Urbanomic and Sequence Press: Falmouth and New York, 2011).Google Scholar
- 9.Quentin Meillassoux, The Number and the Siren, translated by Robin Mackay (Urbanomic and Sequence Press: Falmouth and New York, 2012).Google Scholar
- 11.Salih N. Neftci, Principles of Financial Engineering (San Diego, California: Academic Press, 2004), p. 128.Google Scholar