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By Paul Cottrell, BSc, MBA, ABD. Author Complexity Science, Behavioral Finance, Dynamic Hedging, Financial Statistics, Chaos Theory Proprietary Trader.

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Presentation on theme: "By Paul Cottrell, BSc, MBA, ABD. Author Complexity Science, Behavioral Finance, Dynamic Hedging, Financial Statistics, Chaos Theory Proprietary Trader."— Presentation transcript:

1 By Paul Cottrell, BSc, MBA, ABD

2 Author Complexity Science, Behavioral Finance, Dynamic Hedging, Financial Statistics, Chaos Theory Proprietary Trader Energy and Currency Dissertation Dynamically Hedging Oil and Currency Futures Using Receding Horizontal Control and Stochastic Programming

3 The study of financial and economic systems Using 3-dimensions or 4-dimensions Provides insight that lower dimensional visualization cannot capture Can be used for trading and financial analysis

4 Econometric information (Unemployment, Time, GDP) (Tax Rate, Time, Tax Revenue) – Laffer Surface Financial information Fundamental (P/E, Time, Revenue Growth Rate) Technical/Quant (Price, Time, Volatility) (Strike Price, Time To Maturity, Volatility)

5 Provide a easier way to interpret data Fills in gaps with a theoretical or probable state space Can be used with 2D visualization for conformation

6 Chaos Theory Complexity Science Emergence

7 Poseidon is one of the twelve Olympian deities of the pantheon in Greek mythology. His main domain is the ocean, and he is called the "God of the Sea". Additionally, he is referred to as "Earth-Shaker“ due to his role in causing earthquakes, and has been called the "tamer of horses". He is usually depicted as an older male with curly hair and beard.

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9 Designed by Reykjavik A financial research studio owned by Paul Cottrell Ethos To provide the financial industry with a surface tool To produce analysis of econometric and financial data To provide a predictive set of tools for quantitative trading Allow traders to manage risk and understand volatility graphically

10 Crash prediction Use of Log Periodic fitting Volatility of 4% OTM options (Skewness Premium) Use of Crash Hazard Rate

11 Topographic Finance can help visualize the market Can be used with existing trading systems Can be used for historic as well as predictive analysis Future research Big data analysis Streaming surface visualization Build up of an AI system


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