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It's not sarcastic. I had never heard of the "Cum Ex" market before this article, and here there are people being interviewed about their experience investing in that market across two decades.

People that literally saw a pitch for a market I never heard of, and did it, and made bank. This is not my world, and I want it to be.

I know to look across EU and peripheral EU nations for arbitrage and obscure policies, despite having no interest in raiding government coffers due to discrepancies in settlement times, I would have never thought to look at it this way.




That is interesting. I see one-off articles every couple months about traders discovering "loopholes" of one kind or another and exploiting. The question I've struggled with is: How can someone systematically approach trying to find loopholes like this vs. just randomly stumbling upon them?


Step 1 is getting a job at an investment bank where you have direct access to the markets and enough political clout to keep it all "legal".

Also realize that any genius loophole you find will have already been discovered and exploited by other banks. If you want to get a feel for what this is like watch The Big Short.


Surely though, by the time Bloomberg writes an article, the proverbial jig is well and truly up?


By the time it's in Bloomberg, isn't it already played out?


I think that attitude is why it isn't.

By the time Tesla was in the news, it wasn't worth investing in any more, right?


Tesla's a bit unusual though - it was in the news a lot, but a lot of that news provided a short thesis.


Bloomberg described it back in 2019 BTW.


The gravy train was 10-15 years ago, I want to know about the stuff then. What is happening right now being pitched at family office events in Dubai that I wont hear about until 2035?

I want to know about it now


The point of all. arbitrage plays and other such phenomena is that they don't last forever; as soon as they are noticed they are equilibrated or regulated away.

So someone who finds one only shops it around to HNWs, trying to push as much money into the imbalance as quickly as possible, keeping part of it for themselves. They certainly aren't going to talk about it publicly as that would simply allow others to call attention to the forces that would cause the opportunity to vanish.

Unless you are an HNW yourself you aren't going to hear about it.


> Unless you are an HNW yourself you aren't going to hear about it.

Like I've been alluding to, I'm at the place where I want to either know about it because I'm in the place to know about it, or push as much money into the imbalance as quickly as possible because I know about it and can convince the people that matter they should care

I think it is fascinating when others do and I like seeing how they think.

I'm not asking for how. Just having a conversation about what I like.


Pretty sure I’ve seen this in the Guardian too, months ago.


How do you use them, though?




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