Template:M summ Equity Derivatives 12.8(a): Difference between revisions

Now the nature of geopolitical events is to be unpredictable. They may manifest themselves in different and unexpected ways, so — while no-one likes to rag on {{icds}} more than the [[JC]] does, readers, you know that — you can’t really blame [[the ’squad]] for not setting out the myriad of unintended knock-on consequences there might be to your equity derivative portfolio as a result of an unwarranted military incursion in the Urals.

That said, it is all about managing expectations. The other typical characteristic of geopolitical hanky-panky is that it rarely comes out of the blue: it brews, there is posturing, brinkspersonship, manoeuvering before anything happens. ''This is a good time to get out and talk to your clients''. Remember the name of the game is to manage client expectations: a client who ''didn’t'' know it had some risk, even though it ''should'' have known (or, in fact ''did'' know<ref>This is an [[unknown known]] in the JC’s [[forensic epistemology]].</ref> but in a moment of motivated irrationality had conveniently ''forgotten'') is more likely to be upset when that risk materialises than one who ''did'' know, because you reminded it. Your goal, remember, is not to ''win'' [[litigation]] with your customers, but ''avoid'' it.