Rails - A New meaning

Until Last year I have always associated Rails (Ruby on Rails) with quick prototyping of web apps, pragmatic programming etc.. However, My time with stochastics in the last few months has made me give it a new meaning. In my new world, RAILS stands for Relentless Application of Ito’s Lemma. Stochastic Calculus, once one understands the basic framework , is nothing but RAILS, atleast in the financial world I guess.

:)

Came across this statement from a quant forum…It reflects the current state of the US market It is easier to rob by setting up a bank than by holding up a bank clerk.

Interesting example of Option on Futures!

Many people think that options and futures are recent inventions. However, options have a long history,going back to ancient Greece.As recorded by Aristotle in Politics, the fifth century BC philosopher Thales of Miletus took part in a sophisticated trading strategy. The main point of this trade was to confirm that philosophers could become rich if they so chose. This is perhaps the first rejoinder to the famous question “If you are so smart, why aren’t you rich?