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$Deutsche X-trackers Harvest CSI300 CHN A(ASHR)$ Is that monster dividend a typo by its secretary? Should be 0.8?

1. I bought some leap calls with strike of 55 and 60. If the strike price is not adjusted, then all those money would be gone. What a shame.
2. For a short seller, huge gains immediately?

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2015-12-18 04:51

I was short selling at that point, and now I regret that I didn't buy put instead. haha

2015-12-18 04:50

yeah. Black swan for put writters. I asked a friend of mine doing MFE, and she told me that the BS model is fundamentally problematic for pricing American options because it assumes a exponentially continuously distributed dividend.