What is Cube Derivatives Web Tool
Derivatives Web Tool is a web application that provides to private traders an analysis and simulation tool for options strategies. Thanks to its use, the trader learns to choose the most suitable options strategy, to evaluate the impact of market risks on the monitored positions in order to then be able to move on to more advanced operating tools.
Who is it for?
It is aimed at companies that manage the markets of listed derivative instruments to provide private traders with an educational tool, to increase their knowledge of the world of options and, in particular, of the products of the same market.
It is also aimed at brokers/banks that offer an online trading service to their retail clients to integrate their trading platform with a risk analysis tool for their clients’ positions.
The project was born in 2014 when Borsa Italiana (Milan) asked Stefano Zanchetta to integrate a simulation tool for derivative financial instruments listed on the Idem market into their website.
The software was developed and adapted to the site’s graphics, as can also be seen from the current version here.
In 2018 the DGCX market in Dubai required the same development for its website.
Strengths of the application
- Simplicity of use
- Allows private traders to approach listed options
- Integration with other existing platforms
Quotes and Greeks
View all listed options with Greek calculation.
Wizard for building basic strategies in three steps: choosing expectations on prices and volatility, selecting the strategy and sending it to the single analysis section or within a portfolio.
Given the inputs of an option, calculation of the theoretical value (fair value), of the greeks and of the implied volatility.
Analysis of the saved portfolios with calculation of the PL, of the value and of the greeks both at single and aggregated level. Chart of payoffs at maturity on aggregated positions at underlying level.
Analysis of individual saved strategies with calculation of PL, value and Greeks both at single and aggregate level. Chart of payoffs at maturity on aggregated positions at underlying level.
Graph of local implied volatility of all options referred to an underlier and to a maturity.