A SIMPLE KEY FOR PNL UNVEILED

$ Now you say $V_t$ would be the risky asset. Very bewildering. Edit the article to create this crystal obvious. We will contemplate what is a PnL at the time we know very well what we have invested in. $endgroup$Are regulatory bodies in command of regulating what you are able to do, or what You cannot do? much more very hot thoughts$begingroup$ I

Useful really. So how exactly does a lender use these daily PnL calculations? After all the costs will swing each day and there will be possibly income or loss as per the calculation. So, How does a bank use these daily PnL calculations? $endgroup$I am notably thinking about how the "cross-consequences"* among delta and gamma are handled and would