Jun 23, 2018

Rzepczynski on Tobin's separation theorem

Tobin's separation theorem - It can be applied anywhere, Mark Rzepczynski, 6/23/18

This is a good intro to the idea behind notional trading by Mark Rzepczynski in a post on Tobin's separation theorem.  I have found this concept incredibly useful in personal trading of spot currencies, currency futures, commodity futures and futures options.  Maybe it was a little less than useful on a failed hedge fund startup where I was a GP, an LP and I lost an amount of money I was not really prepared to lose.  The concept is maybe sorta theoretically available to a retail investor but I'm guessing it would be nearly impossible to implement in any remotely efficient way.  


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