- Joined
- 4/18/23
- Messages
- 13
- Points
- 13
Hi Guys,
I'm just starting to get into trading exotics for my fund and reached out to my deriv sales person today to get pricing on a SPX 6M 102/106 KI Call. They came back with the following
Priced in $10mm notional:
SPX 17Nov23 102%/106% Knock-In Calls @ 5.082% offer
SPX 17Nov23 102%/108% Knock-In Calls @ 4.916% offer
SPX 17Nov23 102% Vanilla Calls @ 5.08% offer
Now this seems nonsensical to me, but is there some friction that would cause this? Am I completely off the mark?
I'm just starting to get into trading exotics for my fund and reached out to my deriv sales person today to get pricing on a SPX 6M 102/106 KI Call. They came back with the following
Priced in $10mm notional:
SPX 17Nov23 102%/106% Knock-In Calls @ 5.082% offer
SPX 17Nov23 102%/108% Knock-In Calls @ 4.916% offer
SPX 17Nov23 102% Vanilla Calls @ 5.08% offer
Now this seems nonsensical to me, but is there some friction that would cause this? Am I completely off the mark?