Client driven trading strategies: a practical modeling in the context of financial derivatives market.

  • Aravind Mohanan Potti Asst. Professor TKM Institute of Management Affiliated to University of Kerala Karuvelil P.O, Kollam, Kerala, India-691 505
Keywords: Role of Stakeholders, Managing Client traffic, Client Driven Business Model,

Abstract


Financial derivatives are widely recommended by financial advisors and brokers to hedge the investment position of their clients. But due to the heterogeneity existed between retail investor groups they are not in a position to offer more customized service to their clients.  The present study is developed on the basis of a survey conducted among 200 experts working in various broking firms. The opinions, so collected from experts were evaluated using different statistical measures in order to select some suitable strategies. Statistical tools like MANOVA, Chi-square, paired sample ‘t’ test, etc. were used to analyze the viability of the expert recommendations. Based on this empirical analysis some strategies were identified for derivative trading and a theoretical model was formulated for dealing with diversified group of retail investors.

Author Biography

Aravind Mohanan Potti, Asst. Professor TKM Institute of Management Affiliated to University of Kerala Karuvelil P.O, Kollam, Kerala, India-691 505
Dr Aravind M is an Assistant Professor in the finance department at the TKM Institute of Management, Kerala. He has more than a decade of experience in academia and industry. He holds MBA, PhD degrees to his credit and also cleared UGC NET in Management. He has published more than 20 research articles in journals of national and international repute and presented research papers in several seminars and conferences. He is also serving as an external expert in the editorial board of two national journals and one international journal. He is a life member of Indian Accounting Association.

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Published
2018/11/13
Section
Original Scientific Paper