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Patrick Boyle is a hedge fund manager, a university professor and a former investment banker. This channel is all about quantitative finance. By subscribing you will see videos explaining what is happening in markets right now, you will learn about financial derivatives, corporate finance and how traders use quantitative tools like statistics. You will see interviews with some of the most interesting people in the financial industry. In addition, you will see some longer form documentaries on the history of financial markets.To contact Patrick go to the website http://onfinance.orgDISCLAIMER:This channel is not affiliated with any financial institution. The videos on this channel are for entertainment purposes only and do not constitute financial advice. Those seeking investment advice should seek out a registered professional. Patrick is not responsible for investment actions taken by viewers and his content should not be used as a basis for investment.Links:Amazon Author Page: https://amzn.to/3bTeqedPatreon: https://www.patreon.com/PatrickBoyleOnFinanceWebsite: https://www.onfinance.org/Instagram: https://www.instagram.com/patrickeboyle/BlueSky: https://bsky.app/profile/pboyle.bsky.social
- 191 - Warren Buffett's Berkshire Hathaway is Not Buying Stocks Now. Annual Meeting 2020 Preview. 10-Q
Warren Buffett’s Berkshire Hathaway slumps to $50bn loss, their largest quarterly loss ever. The stock market sell-off hurt investment holdings despite an uptick in operating profit.Warren Buffett, one of history’s greatest investors, has not been immune to the rough recent market environment. Today's video is about Buffett's quarterly report Q1 2020 or 10-Q released May 2, 2020, and what it tells us about investing in these uncertain times.Berkshire Class A shares were down around 19% YTD as of Friday afternoon May 1, 2020, off 16% over the past 12 months. The S&P 500 is down 3% over the same period.The Berkshire Hathaway 2020 Annual Meeting goes live on the internet this afternoon. This video gives a preview of some of the topics likely to be discussed.Buffett recently called oil volatility and the panic hitting markets a “big one-two punch.”The COVID-19 pandemic will likely be the largest event in insurance-industry history because it affects both sides of the balance sheet. How will this affect Berkshire Hathaway?Auto insurers, such as Berkshire’s Geico, have returned some premiums to consumers as driving decreases, which could translate into fewer accidents. The industry may also see potential claims from business interruptions, canceled events, and workers’ compensation claims.The COVID-19 lockdown has not been kind to value portfolios, value stocks today are highly economically sensitive and levered. By contrast, growth stocks had limited leverage coming into this crisis and software-based business models better suited to the economy effectively closing.Buffett highlighted that many of the biggest tech stocks in the S&P don’t really require capital.Value often performs best coming out of a recession, and for that reason everyone wants to know when will Buffett start deploying Berkshire's 128 billion dollar cash position.Charlie Munger told The Wall Street Journal last month that Berkshire would likely close some of its smaller holdings as a result of the pandemic but didn’t specify which specific businesses would be affected. Investors are eager to find out.Berkshire sold off sizeable stakes in Delta Air Lines and Southwest Airlines as the coronavirus battered the travel industry.Buffett has stated that he constantly seeks to buy businesses that meet three criteria. 1. First, they must earn good returns on the net tangible capital required in their operation.2. Second, they must be run by able and honest managers. 3. Finally, they must be available at a sensible price.When Warren Buffett, the Oracle of Omaha speaks, investors from around the world listen. If Warren Buffett has any words of comfort or warning for stock-market investors, they will hear them later today.The Berkshire Hathaway Annual Meeting which last year drew over 40,000 attendees will be streamed live online at 3PM central time.Buy Patrick's Book Here: https://amzn.to/2J2kF3AVisit our website: http://onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinance Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 27 Oct 2026 - 190 - How High Are Private Equity Returns?
FlexiSpot’s Fall Sale is here, up to 50% OFF! Don’t miss your last chance to save big this season! Use my exclusive code "YTE7P50” to get an extra $50 off on E7 pro, E7 plus, and E7L. FlexiSpot also have ""100% Free Orders"" on Sep 29th, 9:00 PM PST!!! FlexiSpot E7L Standing Desk:https://bit.ly/3Zvw58p (US)https://bit.ly/3BeQa8S (CA)In a recent CNBC interview Tony Robbins extolled the virtues of investing in private equity, arguing that private equity provided high returns – with low risk. Is he right? Should everyone invest in Private Equity?Here is a link to the full CNBC video: https://www.youtube.com/watch?v=DWZ67Cx1zm8Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleFurther Reading:An Inconvenient Fact: Private Equity Returns & The Billionaire Factory: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3623820A Bottom-Up Approach to the Risk-Adjusted Performance of the Buyout Fund Market: https://www.tandfonline.com/doi/pdf/10.2469/faj.v72.n4.1#:Cliff Asness – Volatility Laundering: https://www.institutionalinvestor.com/article/2bstqfcskz9o72ospzlds/opinion/why-does-private-equity-get-to-play-make-believe-with-pricesMark Anson Paper: https://www.jstor.org/stable/43503783Aswath Damodaran Slides: https://pages.stern.nyu.edu/~adamodar/pdfiles/eqnotes/privateequity.pdfMSCI Leverage in Private Equity: https://www.msci.com/www/blog-posts/leverage-in-private-equity-what/04942552461#:~:text=Leverage%20can%20be%20a%20key,improvements%20rather%20than%20financial%20engineering.Visit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join*For the FlexiSpot free orders promotion. Customers need to pay upfront for the products - and the first 10 orders after 9PM PST on September 29th will receive a reimbursement of up to $1000 (sorted by order time). If the customer spends more than $1000, the portion of the order amount exceeding $1000 will be excluded from the free order refund. Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 27 Oct 2026 - 189 - Is Warren Buffett Buying Stocks in the downturn? What are the biggest investors doing right now?
Did Warren Buffett go on a stock buying spree? In todays video we discuss whether Buffett feels markets are still too greedy right now or if it is time to buy. We will discuss the upcoming Berkshire Hathaway annual meeting and how it will be livestreamed this year.Buy Patricks' Books Here: https://amzn.to/3cW3T31Visit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleIn todays video we discuss what the biggest investors have been doing in the recent market downturn. We talk about Warren Buffett, Leon Cooperman and Carl Icahn.Berkshire Hathaway investors have been waiting for the company to put its cash pile to work. Warren Buffett has had a few quarters of active stock buying in the past few years, but the company's cash hoard has been growing since its last major purchase - the January 2016 acquisition of Precision Castparts.Berkshire has about $128 billion in cash and equivalents on its balance sheet. Since the COVID-19 pandemic and the resulting bear market began, investors have been waiting to see if the company will finally make some big moves.No major investments have come to fruition - at least not in the acquisition department. And judging by recent comments by Charlie Munger, there are no big acquisition targets in the company's immediate future.Berkshire could be putting some of its money to work in the stock market during the COVID-19 pandemic.The first important date for investors to watch is when Berkshire releases its first-quarter earnings report on Friday May 1 at the Berkshire Hathaway Annual Meeting 2020. We'll get a glimpse of how much cash the company had as of March 31, when the bear market was already well underway. If the cash hoard has declined significantly, we can infer that Berkshire has been doing some stock buying since there haven't been any major acquisitions announced.In the video I mention my favorite books on Warren Buffett and how he invests. The best book in my opinion is by Buffett The Making of an American Capitalist Roger Lowenstein and can be found at this link. https://amzn.to/2y7qT07It is also worthwhile reading Trade like Warren Buffett by James Altucher. https://amzn.to/2VKR2uNBillionaire investor Leon Cooperman said in an interview with CNBC on Thursday that government support to companies struggling during the coronavirus crisis is likely to change capitalism forever and that politics are moving to the left in the USA and taxes will need to go up—regardless of who wins the 2020 presidential election in November.In addition we discuss Carl Icahn, his Mall Short using CMBS, how he bought oil at a negative price, and his market outlook.Here is a video explaining what negative oil prices mean. https://youtu.be/dfqmjSOD7pQWarren Buffett stocks 2020 Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 188 - Crypto Bought The 2024 Election!
Use PATRICK activation code at http://nordpass.com/patrick to get a NordPass Business 3-month free trial. No credit card is required.According to the consumer advocacy group Public Citizen, almost half of all corporate money contributed to this year's US election campaigns has come from crypto backers and politicians are bending to their will with promises to reduce regulation and consumer protections.Why do Trump and Kamala Harris suddenly support crypto? In today's video we follow the money.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleZeke Faux Book - Number Go Up: https://amzn.to/4gMw5a2Molly White Article - https://www.citationneeded.news/coinbase-campaign-finance-violation/Public Citizen Report - https://www.citizen.org/article/big-crypto-big-spending-2024/Business Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 187 - Can The Price of USO go negative? | The US Oil ETF | Negative Oil Prices
Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinanceCan The US Oil ETF Go Negative?As we discussed on Monday, this is not quite a story of “the price of oil is negative”; it is more a story of “the price of physically settled front-month West Texas Intermediate oil futures is negative.” As the May expiry rolled around, all the financial buyers wanted out, but none of the refiners wanted to take their positions and so the financial traders had to pay someone quite a bit of money to take the oil off their hands. Events in the real world caused this—but oddities of financial markets exacerbated it.It is not impossible, for the futures price to flip to negative. It is unprecedented, and it is strange. But dealing with a negative futures price is fairly straightforward and intuitive. Futures trade on an exchange, there is a clearinghouse, traders have to be creditworthy and post daily margin as the price moves. If the price goes down, money moves along well-understood channels if the price goes negative, those channels keep working. What is problematic, is that people have built retail financial products using oil futures, and those products assume that the lowest possible price for oil futures is zero.The problem is that oil futures prices can go negative, but ETF share prices can’t. If you buy an ETF on a stock exchange, and its value goes to zero, you can walk away; no one can ask you for more money. USO’s value hasn’t gone negative—it avoided Monday’s negative prices—but the structure has become a problematic.What does it mean that oil prices turned negative? https://youtu.be/dfqmjSOD7pQWhat is going on with USO - The US Oil ETF? https://youtu.be/BIqIjbHeV-g Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 186 - Can The Price of USO go negative? | The US Oil ETF | Negative Oil Prices
Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinanceCan The US Oil ETF Go Negative?As we discussed on Monday, this is not quite a story of “the price of oil is negative”; it is more a story of “the price of physically settled front-month West Texas Intermediate oil futures is negative.” As the May expiry rolled around, all the financial buyers wanted out, but none of the refiners wanted to take their positions and so the financial traders had to pay someone quite a bit of money to take the oil off their hands. Events in the real world caused this—but oddities of financial markets exacerbated it.It is not impossible, for the futures price to flip to negative. It is unprecedented, and it is strange. But dealing with a negative futures price is fairly straightforward and intuitive. Futures trade on an exchange, there is a clearinghouse, traders have to be creditworthy and post daily margin as the price moves. If the price goes down, money moves along well-understood channels if the price goes negative, those channels keep working. What is problematic, is that people have built retail financial products using oil futures, and those products assume that the lowest possible price for oil futures is zero.The problem is that oil futures prices can go negative, but ETF share prices can’t. If you buy an ETF on a stock exchange, and its value goes to zero, you can walk away; no one can ask you for more money. USO’s value hasn’t gone negative—it avoided Monday’s negative prices—but the structure has become a problematic.What does it mean that oil prices turned negative? https://youtu.be/dfqmjSOD7pQWhat is going on with USO - The US Oil ETF? https://youtu.be/BIqIjbHeV-g Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 185 - Watch Market Collapse! Why Did Secondary Market Prices Fall So Much?
To try everything Brilliant has to offer for free for a full 30 days, visit https://brilliant.org/patrick/. You’ll also get 20% off an annual premium subscription.Prices for the most in-demand luxury watches have been in freefall on the secondary market since March 2022 as a pandemic-era rally fizzled. Are luxury watches a good investment, how do watch prices perform in the long run?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 184 - Negative Oil Prices - What is happening with the USO ETF? | How do ETF's work?
Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinanceThe Untied States Oil Fund (USO) dropped 25% on Tuesday as managers made multiple changes to the fund’s structure in an effort to stave off additional losses.The fund, which trades under the ticker USO is popular with retail investors, seeks to track the price of the front month WTI oil futures price.The fund will now invest in multiple futures contract expirations, rather than focusing on the contract for the nearest month.In todays video I answer a lot of questions from yesterdays video explaining what it meant that the oil price was negative. You can watch that video here. https://youtu.be/dfqmjSOD7pQ I explain what an ETF is, how they work, and what might happen if the ETF becomes disconnected from its NAV. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 183 - The FBI Rounded Up Crypto Criminals and It was Funny!
Get 50% off your first order of CookUnity meals — go to https://cookunity.com/pboyle50 and use my code PBOYLE50 at checkout to try them out for yourself! Thanks to CookUnity for sponsoring this video!The FBI created their own crypto token called NexFundAI as part of an investigation into price manipulation in crypto markets. As a result of the investigation, the SEC charged three “so-called market makers” and nine individuals for allegedly engaging in schemes to boost the prices of certain crypto assets. The Department of Justice charged 18 people and entities for “widespread fraud and manipulation” in crypto markets.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleAdditional Links:SEC Press Release: https://www.sec.gov/newsroom/press-releases/2024-166U.S. Attorney's Office, District of Massachusetts: https://www.justice.gov/usao-ma/pr/eighteen-individuals-and-entities-charged-international-operation-targeting-widespreadLink To Report Losses: https://forms.fbi.gov/seeking-information-in-cryptocurrency-investment-fraud-investigationBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 182 - Crude oil prices are negative. What does this mean?
Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleA follow up video explaining how the USO ETF works https://youtu.be/BIqIjbHeV-gVideo on Contango & Backwardation: https://youtu.be/0QVFMwq2UusWhat are Futures: https://youtu.be/zlIts3ddX00Patreon Page: https://www.patreon.com/PatrickBoyleOnFinanceTodays video explains what it means that oil futures fell to a negative price today.U.S. crude oil prices had their worst day on record today, with crude storage facilities filling rapidly as the coronavirus pandemic continues to crush demand.A futures contract for U.S. crude prices dropped more than 100% and turned negative for the first time in history on Monday, showing just how much demand has collapsed due to the coronavirus pandemic.This collapse into negative territory is not reflective of the true reality in the oil market. The price of the May oil futures contract, which expires Tuesday, detached from later month futures contracts, which continued to trade above $20 per barrel.West Texas Intermediate crude for May delivery fell more than 100% to settle at negative $37.63 per barrel, meaning producers would pay traders to take the oil off their hands.This negative price has never happened before for an oil futures contract. Futures contracts trade by the month. The June WTI contract, which expires on May 19, fell about 18% to settle at $20.43 per barrel. This contract, which was more actively traded, is a better reflection of the reality in the oil market. The July contract was roughly 11% lower at $26.18 per barrel. Meanwhile, international benchmark Brent crude stood at $26.41 on Monday, around 6% lower for the session.This comes amid concern that the volume of oil held in U.S. storage is rising sharply, with the coronavirus crisis compounding the problem by dramatically reducing consumption.The current forward crude oil curves for Brent and WTI are now in what the financial press is calling Super-Contango. The contango is very front-loaded,A contango market implies oil traders believe crude prices will rally in the future, encouraging them to store oil now and to sell at a later date. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 181 - What Went Wrong With California?
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comSince the gold rush, California has been the go-to state for start-up companies. In recent years the Golden State has been losing the competition with neighboring states. More than 500 businesses have left California since 2005. Among these businesses were Fortune 500 companies and the economic impact from these departing companies is likely to be severe.California’s tax laws and prohibitive regulations are the leading causes of the massive corporate exodus. The business-friendly conditions, opportunities to save costs, and home-ownership options for employees in other states are a few reasons companies have decided to leave California. These factors led to the first three-year decline in population in Californias history. In today's video we ask, what went wrong with California? Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 180 - How Does Options Margin Work? | Financial Derivatives | Options Trading Lessons
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is Option Margin? Option margin is the cash or securities an investor must deposit in their account as collateral before selling options. Only sellers of options have to post margin, buyers of options pay the entire premium upfront and that is the most that they can lose.Margin requirements are established by the Federal Reserve Board in Regulation T and varies based on the option.Option margin requirements are very complex and differ quite a bit from stocks or futures margin requirements. In the case of stocks and futures, margin is used as leverage to increase buying power, whereas option margin is used as collateral to secure a position.Minimum margin requirements for various types of underlying securities are established by FINRA and the options exchanges. Brokers may have very different margin requirements since they can add to the minimum requirements set by regulators. Some option strategies, such as covered calls and covered puts, have no margin requirement since the underlying stock is used as collateral. Traders must request options trading authorization when opening a new account. Often times, brokers will classify options trading clearance levels depending on the type of strategies employed. Buying options is typically a Level I clearance since it doesn't require margin, but selling naked options may require Level II clearances and a margin account. Level III and IV accounts often have lower margin requirements.Option margin requirements can have a significant impact on the profitability of a trade since it ties up capital. Complex strategies, such as strangles and straddles, may involve computing multiple margin requirements. Traders should determine the margin requirements for a trade before entering into it and make sure that they can meet those requirements if the market turns against them.How do you calculate option margin requirements? The easiest way to calculate option margin requirements is using the Chicago Board of Options Exchange (CBOE) Margin Calculator that provides exact margin requirements for specific trades. Traders can also see the minimum requirements in the CBOE's Margin Manual. Brokerage accounts may have similar tools available to provide an idea of the cost before entering into a trade. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 179 - Big Tech is Going Nuclear!
⚡️Start designing today with Gamma for free ➡️ https://gamma.appBig tech companies like Microsoft, Amazon and Google are driving the nuclear revival, as to get new power-hungry data centers built in the US and Europe, they have to solve the problem of power generation. Their net zero pledges mean that the sources of power that they have pledged to use have to be low carbon, and they have already invested heavily in wind and solar, but their data centers still need a steady base load, so for big tech, investing in nuclear energy makes a lot of sense. Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle@PracticalEngineeringChannel Connecting Solar to the Grid is Harder Than You Think: https://www.youtube.com/watch?v=7G4ipM2qjfwBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 178 - Applied Portfolio Management | Hedge Funds (Part 2) How Hedge Funds Invest | Trading Strategies
All slides are available on my Patreon page: https://www.patreon.com/PatrickBoyleOnFinanceApplied Portfolio Management - How Hedge Funds Invest. Part TwoIn yesterdays class we learned what a hedge fund is, why people invest in them, and how hedge funds and other alternative investments might add value in a diversified portfolio. Today we talk about a number of hedge fund strategies such as merger arbitrage or event driven, index arbitrage, index adds and deletes, macro investing, statistical arbitrage, pairs trading and share class trades. We learn how these strategies work, and what the returns look like. Watch the whole series to learn everything you need to know about asset management.Books mentioned in the videos:When Genius failed by Roger Lowenstein https://amzn.to/2WZt28hCorporate Finance by McDougall and Boyle https://amzn.to/3avUEp7Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 177 - Deindustrialization in Europe?
To try everything Brilliant has to offer for free for a full 30 days, visit https://brilliant.org/patrick/. You’ll also get 20% off an annual premium subscription.There has been a lot of press on how Europe is facing deindustrialization, where manufacturing employment is in terminal decline and the continent can no longer compete due to high energy prices, economic competition, and other factors. In today's video we try to work out if Europe is doomed and should it pivot towards tourism - becoming the world's museum.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveHelpful Links:Mario Draghi Report: https://commission.europa.eu/topics/strengthening-european-competitiveness/eu-competitiveness-looking-ahead_enOxford Economics: https://www.oxfordeconomics.com/resource/claims-of-deindustrialisation-in-europe-are-overblown/Join this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 176 - Applied Portfolio Management - Class 7 - Hedge Fund Strategies - How Hedge Funds Invest
All slides are available on my Patreon page: https://www.patreon.com/PatrickBoyleOnFinanceApplied Portfolio Management - How Hedge Funds Invest.In todays class we learn what a hedge fund is, we learn why people invest in them, and how hedge funds and other alternative investments might add value in a diversified portfolio. We will talk about a number of hedge fund strategies such as long-short equity or market neutral, convertible bond arbitrage, fixed income arbitrage, macro investing, managed futures or CTA's volatility arbitrage and capital structure arbitrage. We will learn how these strategies work, and what the returns look like. Tune in to tomorrows video to learn about more hedge fund strategies.Books mentioned in todays video:When Genius failed by Roger Lowenstein https://amzn.to/2WZt28hBuy Patrick's Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Wed, 21 Oct 2026 - 173 - Hard Times - The Great Depression.
Enjoy up to 50% off Ekster's Black Friday! Go to https://partner.ekster.com/pboyle and use code BOYLE at checkout to unlock further savings!The Great Depression was the worst and deepest peacetime economic shock in the history of the industrialized world. It brought about profound social change and was a significant factor in the drift towards the Second World War.The depth of suffering during the Depression years is hard for many of us to imagine today. More than 1 in five children in the city were suffering from malnutrition by 1932, and the Great Depression was only getting going at that point, it lasted seven more years. So, why did events on Wall Street in 1929 reverberate around the world? Why did the depression last so long, and how did America and the rest of the world eventually dig themselves out of this financial hole?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleAdditional Reading:Milton Friedman on The Great Depression: https://amzn.to/4fvMYF6The Great Depression by Robert S. McElvaine: https://amzn.to/40SzajtEssays on The Great Depression by Ben Bernanke: https://amzn.to/40SzajtKeynes letter: https://www.economicsnetwork.ac.uk/archive/keynes_persuasion/The_Economic_Consequences_of_Mr._Churchill.htmThe U.S. Economy in the 1920s: https://eh.net/encyclopedia/the-u-s-economy-in-the-1920s/Britain In The Great Depression: https://moneyweek.com/economy/uk-economy/602525/britain-didnt-have-a-roaring-20s-it-had-a-roaring-30s-heres-whyMichael Pettis in The FT: https://www.ft.com/content/ec1b730b-0fbf-3a8c-896a-557c06f730cfThe photographers of the Great Depression - Dorothea Lange, Walker Evans, and Arthur RothsteinBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 27 Oct 2026 - 172 - Applied Portfolio Management - Class 5 - Behavioral Finance
All slides are available on my Patreon page: https://www.patreon.com/PatrickBoyleOnFinanceTodays Class is an introduction to Behavioral Finance.Books MentionedThinking Fast & Slow by Daniel Kahneman https://amzn.to/2UFfz2sMarket Sense & Nonsense by Jack Schwager https://amzn.to/3bwKKDRVictor Haghani Coin Flipping Paper: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2856963Ewan Kirk Paper: https://www.cantabcapital.com/we-think/you-probably-can-t-lose?m=trueBuy Patricks Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 20 Oct 2026 - 171 - Can Elon Musk Cut Two Trillion Dollars From the US Budget?
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comElon Musk and Vivek Ramaswamy are heading up Donald Trump's newly created Department of Government Efficiency which plans to take aim at wasteful government spending. On the campaign Elon Musk claimed that he could cut two trillion dollars in government spending. What would those cuts look like and how likely is Elon Musk to succeed? Does Elon Musk have too many conflicts of interest to do this job?Subscribe to Patrick's interview channel here: https://www.youtube.com/watch?v=w7sWER7LJd8Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleAdditional Reading:Jetson Leder-Luis Website: https://sites.bu.edu/jetson/False Claims Act Reporting: https://www.justice.gov/civil/report-fraudThe Economist: https://www.economist.com/briefing/2021/11/20/governments-are-not-going-to-stop-getting-biggerReid Hoffman in The FT: https://www.ft.com/content/a3a329ee-8c9a-4abd-add2-eb7d56f4c108Visit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 170 - Applied Portfolio Management - Video 4 - Fixed Income Asset Management
All slides are available on my Patreon page: https://www.patreon.com/PatrickBoyleOnFinanceFixed income refers to any type of investment under which the borrower or issuer is obliged to make payments of a fixed amount on a fixed schedule. For example, the borrower may have to pay interest at a fixed rate once a year, and to repay the principal amount on maturity. Fixed-income securities can be contrasted with equity securities – often referred to as stocks and shares – that create no obligation to pay dividends or any other form of income.Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleWhat Is Portfolio Management? Portfolio management is the art and science of selecting and overseeing a group of investments that meet the long-term financial objectives and risk tolerance of a client, a company, or an institution.Portfolio management requires the ability to weigh strengths and weaknesses, opportunities and threats across the full spectrum of investments. The choices involve trade-offs, from debt versus equity to domestic versus international and growth versus safety. Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 169 - Can Trump's Tariffs Work?
Enjoy 10% OFF on all Hoverpens and free shipping to most countries with code PATRICK:North America / UK / International: https://bit.ly/patrickb_noviumEurope: https://bit.ly/patrickb_noviumeuIn today's video we examine Donald Trump's plan to rebalance global trade using tariffs, try to understand the issues with international trade that have been pushing the United States and other countries in this protectionist direction, and if tariffs can be expected to improve the situation or make things worse. We’ll discuss whether Trump could impose his tariffs unilaterally on his first day in office and whether the mere threat of tariffs could be used to improve Americas bargaining power?Subscribe to @PBoyleInterviews here: https://youtu.be/w7sWER7LJd8 Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/joinFurther Reading:Michael Pettis Trade Intervention for Freer Trade: https://carnegieendowment.org/research/2024/10/trade-intervention-for-freer-trade?lang=enCFR The Contentious U.S.-China Trade Relationship: https://www.cfr.org/backgrounder/contentious-us-china-trade-relationship Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 168 - Yotta Bank and The Problem with Fintech!
Sign up for a 14-day free trial and enjoy all the amazing features MyHeritage has to offer → https://bit.ly/PatrickBoyleMarc Andreessen appeared on the Joe Rogan podcast this week arguing that the Consumer Financial Protection Bureau (CFPB) should be shut down as it debanks conservatives.In today's video we use the example of the finfluencer promoted fintech bank Yotta - look at its ties to another fintech - synapse to try to understand if the CFPB should be defunded or if savers need to be protected from fintech firms that are mostly unregulated.Subscribe to @PBoyleInterviews here: https://youtu.be/w7sWER7LJd8 Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/joinAdditional Reading:CNBC Article: https://www.cnbc.com/2024/11/22/synapse-bankruptcy-thousands-of-americans-see-their-savings-vanish.htmlHow Safe are Online Banks & Fintechs?: https://www.bloomberg.com/news/articles/2024-10-09/how-safe-is-your-money-really-in-online-banks-and-fintechsAndreessen-Backed Fintech's Meltdown Shows Bank Middlemen Risks: https://news.bloomberglaw.com/banking-law/andreessen-backed-fintechs-meltdown-shows-bank-middlemen-risksRob Copeland - How To Keep Your Money Safe: https://www.nytimes.com/2024/08/10/business/online-lending-banking-money-risks.html CFPB Debanking Press Release: https://www.consumerfinance.gov/about-us/newsroom/cfpb-finalizes-rule-on-federal-oversight-of-popular-digital-payment-apps-to-protect-personal-data-reduce-fraud-and-stop-illegal-debanking/a16z Investment list: https://a16z.com/investment-list/Joe Rogan - Marc Andreessen Interview: https://www.youtube.com/watch?v=ye8MOfxD5nU Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 167 - Applied Portfolio Management - Class 3 - Equity Investment ManagementMon, 26 Oct 2026
- 166 - Javier Milei One Year In!
Enjoy up to 50% off Ekster's Christmas Sale! Go to https://partner.ekster.com/pboyle and use code BOYLE at checkout to unlock further savings!Javier Milei has been in office for one year having taken over an economy on the brink of collapse. Milei managed to cut the monthly inflation rate from 26 per cent before he took office to 2.7 per cent in October. The Argentine peso has strengthened significantly against the black-market dollar over the past six months and Argentina’s sovereign bond prices have roughly tripled.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveFurther Reading:FT - Has Javier Milei proved his critics wrong? https://www.ft.com/content/35b444a1-608c-48b5-a991-01f2ac3362beThe Economist - The making of an economic miracle? https://www.economist.com/the-world-ahead/2024/11/20/argentina-the-making-of-an-economic-miracleJavier Milei's Argentina in 6 Charts: https://news.gallup.com/poll/654089/javier-milei-argentina-charts.aspxJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 165 - Applied Portfolio Management - Class 2 - Asset Classes and Returns
All slides are available on my Patreon page: https://www.patreon.com/PatrickBoyleOnFinanceTodays class is all about investment asset classes. We examine the different types of investment an investor can put their savings in and try to work out the expected return of these asset classes, the drivers of these returns, and why an investor might be attracted to these different investments. We learn about portfolio construction and diversification.The asset classes we discuss are, fixed income, equities and hybrid instruments like preferred stock and convertible bonds. We learn about real estate or property investments, commodities, foreign exchange and collectibles.Buy The Book Here: https://amzn.to/2J2kF3AVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 164 - World's Worst Regulations!
To try everything Brilliant has to offer for free for a full 30 days, visit https://brilliant.org/patrick/. You’ll also get 20% off an annual premium subscription.There is a long history of regulation and deregulation where big scandals provide the catalyst for new rules, and then the realization that the rules are possibly excessive has caused them to be rolled back.In finance the 1933 Glass-Steagall provisions came in the wake of the 1929 Crash. The 2002 Sarbanes-Oxley Act was a reaction to the Enron and WorldCom scandals. Dodd-Frank was enacted in 2010 after the 2008 financial crisis.Good regulation can bring all sorts of benefits, but excessive regulation, does little to serve the public interest, and creates financial costs and frustration for businesses and the public. Elon Musk has vowed to dismantle thousands of federal regulations as the co-head of the Department of Government Efficiency, or DOGE, saying the nation’s financial security depends on it. Is he right, and if so, what rules need to go first?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveAdditional Reading:https://regulatorystudies.columbian.gwu.edu/brief-history-regulation-and-deregulationAn Evaluation of Consumer Protection Legislation: The 1962 Drug Amendments | Journal of Political Economy: Vol 81, No 5https://www.cato.org/publications/policy-analysis/jones-act-burden-america-can-no-longer-bear#conclusions https://www.cato.org/policy-analysis/rust-buckets-how-jones-act-undermines-us-shipbuilding-national-securityhttps://worksinprogress.co/issue/how-madrid-built-its-metro-cheaply/Milton Friedman Video: https://www.youtube.com/watch?v=dZL25NSLhEAA history of regulation and deregulation: https://regulatorystudies.columbian.gwu.edu/brief-history-regulation-and-deregulationWeird Laws Around the World: https://www.farandwide.com/s/weird-laws-world-4961c1ede8d749bfJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 163 - Applied Portfolio Management - Class 1 - Risk and Return
All slides are available on my Patreon page: https://www.patreon.com/PatrickBoyleOnFinanceBook Suggestions:Burton Malkiel, A Random Walk Down Wall Street (2007) https://amzn.to/2Hr2SW1Roger Lowenstein, Buffett: The Making of an American Capitalist (2008) https://amzn.to/3hUkFl6Jack Schwager, Market Wizards Series https://amzn.to/3a89diHJack Schwager, Market Sense And Nonsense (2013) https://amzn.to/3jerS0ZNassim Nicholas Taleb, Fooled By Randomness (2007) https://amzn.to/365wN08Victor Niederhoffer, Education of a Speculator (1998) https://amzn.to/2EuhMJZVictor Niederhoffer, Practical Speculation (2004) https://amzn.to/2Hr3nznDimson, E., Marsh, P., and M. Staunton, Triumph of the Optimists: 101 Years of Global Investment Returns (2002) https://amzn.to/363JWXGRoger Lowenstein, When Genius Failed (2001) https://amzn.to/364aHv7Ivan Boesky, Merger Mania (1985) https://amzn.to/3crKszQHoward Marks, The Most Important Thing (2011) https://amzn.to/30n89EXFrank Partnoy, F.I.A.S.C.O. (1999) https://amzn.to/366gGj4Michael Lewis, Liars Poker (1989) - The Big Short (2010) https://amzn.to/3mPjhE1Gregory Zuckerman, The Man Who Solved the Market (2019) https://amzn.to/2FVOZi8Patricks' Books:Statistics for Traders: https://amzn.to/3eerLA0Financial Derivatives: https://amzn.to/307ByTbCorporate Finance: https://amzn.to/3fn3rvC Visit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleRisk & Return in Finance.The higher the risk taken, the more greater the expected return should be, and conversely, the lower the risk, the more modest the expected return. In this class we learn about how traders and portfolio managers think about risk and return. We learn about indifference curves, diversification and the importance of correlation in building a portfolio. We learn about sharpe ratio, sortino ratio and beta.Often people are confused by the idea of the risk return tradeoff. They think that taking a higher risk means that you are guaranteed a higher return. Of course, if this was the case, risk would not be risky. In finance what the risk return tradeoff is referring to is the idea that an investor would only agree to take greater risk, if they believed that the positive outcomes were greater than the positive outcomes achieved for low risk investments. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 162 - The Funniest Events of 2024
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comHere's a look back on some of the most impactful events in markets during 2024.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 161 - Is Electrification Killing the Auto Industry?
Go to https://hensonshaving.com/BOYLE and enter BOYLE at checkout to get a free tube of Shave Cream with your purchase of a Henson Razor.For years, the auto industry has been hyping the transition to electric vehicles with optimistic sales forecasts for electric models and huge growth projections. Investors pumped up valuations for automakers, based on their visions for an electric future.Now the hype is dwindling, and companies are again cheering consumer choice. Automakers from Ford Motor and General Motors to Mercedes-Benz, Volkswagen and Volvo are scaling back or delaying their electric vehicle plans.Tesla’s annual vehicle deliveries declined for the first time in more than a decade during a period when overall car sales are up. Have automakers overinvested in EVs and are EVs killing the car industry? Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/joinFurther Reading: How Trump policies could reshape the EV industry: https://observer.com/2024/12/trump-ev-policy-tesla/Norway EV subsidies: https://www.instituteforenergyresearch.org/renewable/the-hypocrisy-of-the-electric-vehicle-movement/Tesla Deliveries drop: https://www.ft.com/content/f13d799c-a4dc-4619-b876-6ec68b502fecAutomakers struggling: https://www.nytimes.com/2024/12/15/business/automakers-trouble.htmlNorthvolt Bankruptcy: https://www.ft.com/content/09938004-21b9-4750-8fa2-9ed15c566d4eThe Winners & Losers in Auto Sales: https://www.caranddriver.com/news/g63335108/auto-sales-q4-2024-winners-losers/Why Norway is Having Second Thoughts about EVs: https://www.vox.com/future-perfect/23939076/norway-electric-vehicle-cars-evs-tesla-oslo Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 159 - How Would Mass Deportations Affect the US Economy?
Go to https://ground.news/pb to get up to 40% off unlimited access to stay fully informed. Subscribe through my link this month for 40% off unlimited access. Donald Trump has promised to conduct “the largest deportation effort in American history,” no matter what it costs—but the price tag may be bigger than expected.In today's video we look at a history of US border control and the economic costs of deporting more than six percent of the US workforce while the US workforce ages. Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Links:Chloe East - The Labor Market Effects of Immigration Enforcement: https://www.journals.uchicago.edu/doi/epdf/10.1086/721152Chloe East - Unintended Consequences of Immigration Enforcement: https://jhr.uwpress.org/content/early/2022/05/02/jhr.0920-11197R1Warwick McKibbin presentation: https://www.youtube.com/watch?v=QV3lxKYIDFEWhat Will Mass Deportations Look Like: What Will Mass Deportations Look Like? How many people did Obama, Biden and Trump actually deport? https://www.the-independent.com/news/world/americas/us-politics/trump-deportation-numbers-obama-biden-b2649257.htmlSarah O’Connor Article: https://www.ft.com/content/2bb60c40-efe1-48d1-9c9e-b9ff672ce349Who is right about ‘Maganomics? https://www.ft.com/content/76ee5977-1f16-470b-86a5-400209aad5a3What we know about unauthorized immigrants living in the U.S: https://www.pewresearch.org/short-reads/2024/07/22/what-we-know-about-unauthorized-immigrants-living-in-the-us/Join this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 27 Oct 2026 - 158 - Financial Derivatives - Lecture 7 - Forward Rate Agreements and Swaps
These full length lectures are being provided for students who are unable to attend live university lectures due to the public health issues associated with Covid 19. I will return to my standard YouTube video format shortly.Buy The Book Here: https://amzn.to/2Qdj9zuVisit our website. www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleFull two hour university lecture on forward rate agreements and swaps. In this lecture we learn about forward rate curves, FRA's and swaps. We learn about the plain vanilla swap, interest rate swaps, foreign exchange swaps, variance swaps and dividend swaps. We learn two methods for pricing swaps, how swaps are traded and how the law of comparative advantage applies to swaps. This is lecture seven of a ten lecture series on financial derivatives for Masters in Finance Students, recorded in 2020. The lecture is based on the book Trading and Pricing Financial Derivatives and is taught by Patrick Boyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 27 Oct 2026 - 157 - The Economic Toll of The Los Angeles Wildfires
Thanks Morning Brew for my daily news briefing - sign up for free here: https://morningbrewdaily.com/patrickboyleThe Los Angeles wildfires have destroyed more than 12,000 structures and at least 24 people have died with more unaccounted for as multiple wildfires, fueled by severe drought conditions and strong winds, continue to burn. Wells Fargo and Goldman Sachs estimate that the destruction will cost insurers as much as $30 billion dollars and after accounting for non-insured damages, the total costs will balloon to $40 billion. The ongoing fires, already appear to be the costliest wildfire event in California history.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 156 - Option Payoff Diagrams For Put Options and Call Options, What do they mean?
Option Payoff Diagrams For Put Options and Call Options, What do they mean?Buy The Book Here: https://amzn.to/2vRA7wcVisit our website: www.onfinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleIn this video we learn about options payoff diagrams for put options and call options, we see what the payoff diagrams look like for being long a call, long a put, short a call and short a put. We learn how to understand these diagrams. Later there will be a video on options combinations and how to draw those payoff diagrams.An options payoff diagram, profit and loss diagram, or risk graph, is a visual representation of the possible profit and loss of an option strategy at options expiration. Option traders use these diagrams to evaluate how a strategy may perform over a range of prices, thereby gaining an understanding of potential outcomes. Because of the visual nature of a diagram, traders can evaluate the potential profit and loss – and the risk and reward of the position – at a glance.To create a profit and loss diagram, values are plotted along the X and Y axes. The horizontal axis (the x-axis) shows the underlying prices, labeled in order with lower prices on the left and higher prices towards the right. The current underlying price is usually centered along this axis. The vertical axis (the y-axis) represents the potential profit and loss values for the position. The breakeven point (that indicates no profit and no loss) is usually centered on the y-axis, with profits shown above this point (higher along the y-axis) and losses below this point (lower on the axis).Trading and Pricing Financial DerivativesPatrick Boyle On Finance Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 155 - The South Sea Bubble - The First Financial Crash
Try Rocket Money for free: https://RocketMoney.com/Patrick #rocketmoney #personalfinance 1720 was a year of two bubbles and a plague. The bubbles were the Mississippi Company in France –and the South Sea Bubble in England. In September 1720 - when the bubble burst, England was plunged into an economic and political crisis. This was one of the first examples of a financial boom and bust and was the event that gave rise to the use of the term bubble to describe a spectacular market failure.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialSources:Money For Nothing by Arthur Levinson: https://amzn.to/3PUbbcVThe King, the Crook, and the Gambler by Malcolm Balen: https://amzn.to/3CFq7bMThe Life of Isaac Newton by Richard Westfall: https://amzn.to/4hfXbWUManias Panics & Crashes - Kindelberger: https://amzn.to/40xOrnXBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 154 - What is an Options Contract in Finance? | What is a Call Option? | What is a Put Option? Derivatives
What are Financial Options?Buy The Book Here: https://amzn.to/37HIdEBPatrick's Website: OnFinance.orgFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleWhat are Financial Options?Options are a financial derivative sold by an option writer or seller to an option buyer. They are typically purchased through a broker. The contract gives the buyer the right, but not the obligation, to buy (call option) or sell (put option) the underlying asset at an agreed-upon price during a certain period of time or on a specific date. The agreed upon price is called the strike price. American options can be exercised any time before the expiration date of the option, while European options can only be exercised on the expiration date (also known as exercise date). Exercising an option means utilizing the right to buy or the sell the underlying security.What is a call option? Call options provide the option buyer with the right to buy an underlying security at the strike price. The buyer of a call option is bullish and wants the price of the stock to go up. Conversely, the option seller (or writer) has to sell the underlying security to the option buyer, at the strike price, in the event that the stock's market price is above the strike price at expiration.An option writer who sells a call option believes that the underlying stock's price will drop or stay the same relative to the option's strike price during the life of the option, as that is how they will reap maximum profit. The writer's maximum profit is the premium received when selling the option. Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 153 - DeepSeek - How a Chinese AI Startup Shook Silicon Valley
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comOn Monday, over a trillion dollars was wiped off the US stock market due to the appearance of a Chinese artificial intelligence start-up DeepSeek.The release of a new reasoning model, known as R1, led investors to question US dominance in tech, their expectations around future AI capex while also raising the prospect that China might beat Silicon Valley at its own game.The new DeepSeek model can “reason” to solve complex problems and performs as well as the AI software from US tech giants like Google and OpenAI, but was apparently developed at a fraction of the price of those models.DeepSeek quickly overtook OpenAI’s ChatGPT as the most-downloaded free app on the US iOS App store.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 152 - How do you risk manage portfolios that contain financial derivatives?
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleDerivatives are specific types of instruments that derive their value over time from the performance of an underlying asset: eg equities, bonds, commodities. A derivative is traded between two parties – who are referred to as the counterparties. These counterparties are subject to a pre-agreed set of terms and conditions that determine their rights and obligations. The most common types of derivatives are options, futures, forwards, swaps and swaptions. I have created videos already explaining all of these financial products.Market risk refers to the sensitivity of an asset or portfolio to overall market price movements such as interest rates, inflation, equities, currency and property. In addition to market risk, derivatives carry counterparty credit risk. Counterparty risk arises when one of the parties defaults, resulting in a replacement risk for the non-defaulting party. As the use of derivatives has grown, systems and methodologies to monitor and mitigate counterparty risk have become more sophisticated. Regulators have also been enhancing the accounting standards (eg IFRS 13) and capital frameworks to capture counterparty risk.Whilst VaR remains an important metric for measuring market risk exposure, there are limitations with this measure. Regulators are increasingly recommending a broader range of risk metrics to evaluate risk exposure. Ultimately, each investor needs to adopt the best combination of risk metrics for their unique asset/liability, funding and risk profile. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 151 - Trump’s Tariff Wars - What Happens Next?
Go to https://ground.news/pb to get up to 40% off unlimited access to stay fully informed. Subscribe through my link this month for 40% off unlimited access. Last weekend Donald Trump announced 25 per cent tariffs on most imports from Canada and Mexico, and an additional 10 per cent levy on imports from China. Canadian oil was hit at a lower rate of 10 per cent. The duties will take effect from Tuesday. Just days later these tariffs were suspended.Trump said the actions were in response to the “major threat” posed by the flow of migrants and drugs into the US across its borders with Canada and Mexico.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveBrad Setser - Foreign Policy Interview: https://foreignpolicy.com/live/trump-tariff-trade-brad-setser/Join this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 150 - Conditional Value at Risk and Stress Testing in Financial Risk Management
I this weeks class we learn about Conditional Value at Risk and Stress Testing.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat Is Conditional Value at Risk (CVaR)? Conditional Value at Risk (CVaR), also known as the expected shortfall, is a risk assessment measure that aims to quantify the amount of risk an investment portfolio has. CVaR is derived by taking a weighted average of the “extreme” losses in the tail of the distribution of possible returns, beyond the value at risk (VaR) cutoff point. Conditional value at risk is used in portfolio optimization as part of risk management.Understanding Conditional Value at Risk (CVaR) Conditional Value at Risk (CVaR) attempts to address the shortcomings of the VaR model, which is a statistical technique used to measure the level of financial risk within a firm or an investment portfolio over a specific time frame. While VaR represents a worst-case loss associated with a probability and a time horizon, CVaR is the expected loss if that worst case threshold is ever crossed. CVaR, in other words, quantifies the expected losses that occur beyond the VaR breakpoint. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 149 - The Dumbest Megaprojects!
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comFrom skyscrapers in the middle of nowhere, to man-made islands that are sinking into the sea. And from abandoned buildings to foolish transportation infrastructure - let's look at the world's most useless megaprojects.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 148 - What are the problems with VaR? | Risk Management | Finance
In todays video we will learn about some of the problems in Value at Risk.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleIn todays video we will learn about some problems with Value at Risk (VaR) Calculations.One of the first issues with VaR is that there is no standard protocol for the statistics used to determine asset, portfolio or firm-wide risk. For example, statistics calculated using a period of low volatility may understate the potential for risk events to occur and the magnitude of those events. Risk may be further understated using normal distribution probabilities, which rarely account for extreme events.The assessment of potential loss represents the lowest amount of risk in a range of outcomes. For example, a VaR determination of 95% with 20% asset risk represents an expectation of losing at least 20% one of every 20 days on average. In this calculation, a loss of 50% still validates the risk assessment.The financial crisis of 2008 exposed these problems as the relatively benign VaR calculations ended up understating the risk posed by portfolios of subprime mortgages. Risk magnitude was also underestimated, which resulted in extreme leverage ratios within subprime portfolios. As a result, the underestimations left institutions unable to cover billions of dollars in losses as subprime mortgage values collapsed.Watch the video for more information. Learn more about your ad choices. Visit megaphone.fm/adchoices
Wed, 21 Oct 2026 - 146 - Time Varying Volatility and GARCH in Risk Management
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleIn Todays video let's learn about time varying volatility and GARCH in risk managementFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleWhat Is Time-Varying Volatility? Time-varying volatility refers to the changes in market volatility over different time periods. Investors may choose to study or consider volatility of an underlying security during various time periods. The use of time-varied volatility measures can influence the expectations of investments.How Time-Varying Volatility Works Time-varying volatility can be studied in any time-frame. Generally, volatility analysis requires mathematical modeling to generate volatility levels as one measure of the risk of an underlying security. This type of modeling generates historical volatility statistics.What is the GARCH Process? The generalized autoregressive conditional heteroskedasticity (GARCH) process is an econometric term developed in 1982 by Robert F. Engle, an economist and 2003 winner of the Nobel Memorial Prize for Economics, to describe an approach to estimate volatility in financial markets. There are several forms of GARCH modeling. The GARCH process is often preferred by financial modeling professionals because it provides a more real-world context than other forms when trying to predict the prices and rates of financial instruments.Heteroskedasticity describes the irregular pattern of variation of an error term, or variable, in a statistical model. Essentially, where there is heteroskedasticity, observations do not conform to a linear pattern. Instead, they tend to cluster. The result is that the conclusions and predictive value one can draw from the model will not be reliable. GARCH is a statistical model that can be used to analyze a number of different types of financial data, for instance, macroeconomic data. Financial institutions often use this model to estimate the volatility of returns for stocks, bonds and market indices. They use the resulting information to help determine pricing and judge which assets will potentially provide higher returns, as well as to forecast the returns of current investments to help in their asset allocation, hedging, risk management and portfolio optimization decisions. Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 20 Oct 2026 - 145 - Why is The World Run by Old People?
Go to https://ground.news/pb to get up to 40% off unlimited access to stay fully informed. Subscribe through my link this month for 40% off unlimited access. The average American is 39 years old - which is half the age of the sitting president - Donald Trump. When Ronald Reagan was inaugurated at 69 years old, he became the oldest person to have ever served as president. Donald Trump and Joe Biden are even older and are now - the two oldest men to ever be inaugurated as president. The average ages in the House and Senate at 58 and 64, are significantly older than the average American. A word often used to describe the nation’s governing class is “gerontocracy” - meaning government based on rule by old people.It's not just in the US either - around the world our political leaders are older than ever before. Why has this happened?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 20 Oct 2026 - 144 - How do you calculate value at risk? Two ways of calculating VaR
In todays video we learn how to calculate VaR or Value at Risk.Buy The Book Here: https://amzn.to/37HIdEBFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleWhat is VAR?The most popular and traditional measure of risk is volatility. The main problem with volatility, however, is that it does not care about the direction of an investment's movement: a stock can be volatile because it suddenly jumps higher. Of course, investors do not get upset about gains. For investors, risk is about losing money, and VAR is based on that idea. By assuming investors care about the odds of a really big loss, VAR answers the question, “How much might I lose in a normal bad day?" and “How much could I lose in a really bad day?"Now let's get specific. A VAR statistic has three components: a time period, a confidence level and a loss amount (or loss percentage). You can see how the "VAR question" has three elements: a relatively high level of confidence (typically either 95% or 99%), a time period (a day, a month or a year) and an estimate of investment loss (expressed either in dollar or percentage terms).There are three methods of calculating VAR: the historical method, the variance-covariance method also known as the model approach) and the Monte Carlo simulation. I have covered Monte Carlo in a separate video. In this video we look at the Historical method and the model approach.What is the Historical method for calculating Value at Risk?The historical method simply re-organizes actual historical returns, putting them in order from worst to best. It then assumes that history will repeat itself, from a risk perspective.What is the Variance-Covariance Method or the model approach for calculating Value at Risk?This method assumes that stock returns are normally distributed. In other words, it requires that we estimate only two factors - an expected (or average) return and a standard deviation - which allow us to plot a normal distribution curve. The idea behind the variance-covariance is similar to the ideas behind the historical method - except that we use the familiar curve instead of actual data. The advantage of the normal curve is that we automatically know where the worst 5% and 1% lie on the curve. They are a function of our desired confidence and the standard deviationWhat is the Monte Carlo Simulation approach to calculating Value at Risk?The third method involves developing a model for future stock price returns and running multiple hypothetical trials through the model. A Monte Carlo simulation refers to any method that randomly generates trials, but by itself does not tell us anything about the underlying methodology. I have created a separate video on that topic which you can find here. https://www.youtube.com/watch?v=luSEdT2HBI4 Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 143 - Germany's Historic Debt Deal!
Go to https://surfshark.com/boyle for 4 extra months of SurfsharkEuropean markets rallied sharply this week as German borrowing costs soared after the country’s new leaders announced a historic deal to loosen its “debt brake” rule to boost spending on defense.The interest rate on German government bonds saw their biggest daily increase since October 1998.The Dax 30 index, which tracks the largest German companies, rose by 3.5% as stock prices also leapt in other European markets amid hopes that a massive boost in European spending on defense and infrastructure would kickstart the region’s lagging economy.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 142 - What is Value at Risk? VaR and Risk Management
In todays video we learn about Value at Risk (VaR) and how is it calculated?Buy The Book Here: https://amzn.to/37HIdEBFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleWhat Is Value at Risk (VaR)? Value at risk (VaR) is a calculation that aims to quantify the level of financial risk within a firm, portfolio or position over a specific time frame. This metric is most commonly used by investment and commercial banks to determine the extent and occurrence ratio of potential losses in their institutional portfolios.Risk managers use VaR to measure and control the level of risk exposure. One can apply VaR calculations to specific positions or whole portfolios or to measure firm-wide risk exposure.VaR modeling aims to calculate the potential for loss in the portfolio being assessed and the probability of occurrence for the defined loss. One measures VaR by assessing the amount of potential loss, the probability of occurrence for the amount of loss, and the timeframe involved.A VaR calculation based on data from a period of low volatility may understate the potential for risk events to occur and the magnitude of those events. Risk may be further understated using normal distribution probabilities, which rarely account for extreme or black-swan events.The financial crisis of 2008 exposed many of the problems with VaR as relatively benign VaR calculations understated the potential occurrence of loss events posed by portfolios of subprime mortgages. Risk was underestimated, which resulted in extreme leverage ratios within subprime portfolios. As a result, the underestimations of occurrence and risk magnitude left institutions unable to cover billions of dollars in losses as subprime mortgage values collapsed.Risk Management Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 141 - Saudi Arabia's Megaproject Disaster!
Go to https://ziprecruiter.com/pb to try ZipRecruiter for free today!Saudi Arabia's Neom megaprojects are running into major financial problems according to The Wall Street Journal.After more than $50 billion dollars has been spent the fantasy city has collided with reality.Costs have soared, delays are constant, and the capital expenditure estimates to complete the projects by 2080 have ballooned to $8.8 trillion dollars, which is over 25 times the kingdom's annual budget.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 140 - What is the Monte Carlo method? | Monte Carlo Simulation in Finance | Pricing Options
In today's video we learn all about the Monte Carlo Method in Finance.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinanceWhat is the Monte Carlo Method?Monte Carlo methods, or Monte Carlo experiments, are a broad class of computational algorithms that rely on repeated random sampling to obtain numerical results. The underlying concept is to use randomness to solve problems that might be deterministic in principle. They are often used in physical and mathematical problems and are most useful when it is difficult or impossible to use other approaches. Monte Carlo methods are mainly used in three problem classes: optimization, numerical integration, and generating draws from a probability distribution. In physics-related problems, Monte Carlo methods are useful for simulating systems with many coupled degrees of freedom, such as fluids, disordered materials, strongly coupled solids, and cellular structures. Other examples include modeling phenomena with significant uncertainty in inputs such as the calculation of risk in business and, in maths, evaluation of multidimensional definite integrals with complicated boundary conditions. In application to systems engineering problems (space, oil exploration, aircraft design, etc.), Monte Carlo–based predictions of failure, cost overruns and schedule overruns are routinely better than human intuition or alternative "soft" methods.Monte Carlo methods are used in corporate finance and mathematical finance to value and analyze complex financial instruments, portfolios and investments by simulating the various sources of uncertainty affecting their value, and then determining the distribution of their value over the range of resultant outcomes. This is usually done by help of stochastic asset models. The advantage of Monte Carlo methods over other techniques increases as the dimensions (sources of uncertainty) of the problem increase. In 1977, Phelim Boyle pioneered the use of the Monte Carlo Method in derivative valuation in a Journal of Financial Economics paper. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 139 - Why Are Birthrates Plummeting Worldwide?
Go to https://ground.news/pb to get up to 40% off unlimited access to stay fully informed. Subscribe through my link this month for 40% off unlimited access. Birth rates are plummeting worldwide – and while this might seem like nothing new – as it has been the case in developed countries for quite some time. The thing that is interesting is that we are seeing declining birth rates everywhere and the standard explanations that you have heard in the past don’t really hold up.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveAlice evans Blog: https://www.ggd.world/p/why-are-chinese-marriages-plummetingGoodhart & Pradhan - The Great Demographic Reversal: https://amzn.to/4iswSgWFT - The Relationship Recession: https://www.ft.com/content/43e2b4f6-5ab7-4c47-b9fd-d611c36dad74FT - The New Global Gender Divide: https://www.ft.com/content/29fd9b5c-2f35-41bf-9d4c-994db4e12998Join this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 138 - What are Structured Products? (Part 2) CPPI Constant Proportion Portfolio Insurance
In Part two of our series on Structured Products, let's learn about Constant Proportion Portfolio Insurance.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is Constant Proportion Portfolio Insurance (CPPI)? Constant Proportion Portfolio Insurance (CPPI) is a type of portfolio insurance in which the investor sets a floor on the dollar value of their portfolio, then structures asset allocation around that decision. The two asset classes used in CPPI are a risky asset (usually equities or mutual funds) and a conservative asset of either cash, equivalents or treasury bonds. The percentage allocated to each depends on the "cushion" value, defined as current portfolio value minus floor value, and a multiplier coefficient, where a higher number denotes a more aggressive strategy.Understanding Constant Proportion Portfolio Insurance (CPPI) Constant Proportion Portfolio Insurance (CPPI) allows an investor to maintain exposure to the upside potential of a risky asset while providing a capital guarantee against downside risk. The outcome of the CPPI strategy is somewhat similar to that of buying a call option, but does not use option contracts. Thus, CPPI is sometimes referred to as a convex strategy, as opposed to a "concave strategy" like constant mix. Financial institutions sell CPPI products on a variety of risky assets, including equities and credit default swaps.A CPPI fund is a fund where the manager allocates dynamically and regularly exposure to risky assets (underlying such as equities or stock indices) and non-risky assets (bonds, money market funds) in order to ensure the preservation of invested capital.To achieve his goal, the manager defines the "cushion" or the percentage of the fund’s assets that may be put at risk without any effect on the level of protection.The "cushion" is estimated by the difference between the initial value of the product and the present value minimum necessary to provide the capital guarantee at maturity.Using quantitative models, the manager will then compute a level of indexing (or multiplier) to apply to the "cushion" to get the portfolio’s exposure to the risky underlying.The adjustment of indexing level will depend on the dynamic changes of the risky underlying.The more risky assets perform, the stronger indexing level will be, and the more the manager will increase exposure to risky assets.On the other hand, the less risky assets perform, the weaker indexing level will be, and the more the manager will decrease exposure to risky assetsAdvantages: The indexing level may exceed 100% in case of initial good performances of risky assets, and generate a better overall return for the fund.Disadvantages: Risk of monetization (the level of exposure to the risky assets becomes zero) if the risky assets underperform at launch Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 137 - Is Elon Musk's Business Empire Collapsing?
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comElon Musk once described competition for his businesses as non-existent, but today the two businesses that underpin his corporate empire - Tesla and SpaceX, are facing more and more competition. In todays video we examine if Elon Musk's business empire is collapsing?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 136 - What are Structured Products?
Today we will learn what structured products are.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinanceA structured product, also known as a market-linked investment, is a pre-packaged investment strategy based on a single security, a basket of securities, options, indices, commodities, debt issuance or foreign currencies, and to a lesser extent, derivatives. The variety of products just described demonstrates that there is no single, uniform definition of a structured product. A feature of some structured products is a "principal guarantee" function, which offers protection of principal if held to maturity. For example, an investor invests $100, the issuer simply invests in a risk-free bond that has sufficient interest to grow to $100 after the five-year period. This bond might cost $80 today and after five years it will grow to $100. With the leftover funds the issuer purchases the derivatives needed to perform whatever the investment strategy calls for. Theoretically an investor can just do this themselves, but the cost and transaction volume requirements of many derivatives are beyond many individual investors.Structured products are designed to facilitate highly customized risk-return objectives. This is accomplished by taking a traditional security, such as a conventional investment-grade bond, and replacing the usual payment features (e.g. periodic coupons and final principal) with non-traditional payoffs derived not from the issuer's own cash flow, but from the performance of one or more underlying assets.Structured products were created to meet specific needs that cannot be met from the standardized financial instruments available in the markets. Structured products can be used as an alternative to a direct investment, as part of the asset allocation process to reduce risk exposure of a portfolio, or to utilize the current market trend. Structured products originally became popular in Europe and are a much smaller market in the United States, where they are offered as SEC-registered products, which means they are accessible to retail investors in the same way as stocks, bonds, exchange traded funds (ETFs) and mutual funds. Their ability to offer customized exposure to otherwise hard-to-reach asset classes and subclasses makes structured products useful as a complement to traditional components of diversified portfolios.U.S. Securities and Exchange Commission (SEC) Rule 434 (regarding certain prospectus deliveries) defines structured securities as "securities whose cash flow characteristics depend upon one or more indices or that have embedded forwards or options or securities where an investor's investment return and the issuer's payment obligations are contingent on, or highly sensitive to, changes in the value of underlying assets, indices, interest rates or cash flows". Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 135 - How Trump’s Tariffs Will Transform Global Trade?
Go to https://surfshark.com/boyle for 4 extra months of SurfsharkPresident Trump’s announcement of reciprocal tariffs on April second were more severe than the market expected. On top of a 10 per cent universal minimum tariff, the new regime includes significantly higher tariffs for most major trading partners and brings US effective tariff rates to levels we have not seen since the early 1900s. How will Trump's Liberation Day Tariffs transform global trade?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveHidden Forces Podcast: https://hiddenforces.io/podcasts/end-of-the-german-economic-miracle-wolfgang-munchau/Manoj Pradhan & Charles Goodhart - The Great Demographic Reversal: https://amzn.to/42zBaNWMichael Pettis & Matthew Klein - Trade Wars are Class Wars: https://amzn.to/42kiiB4Join this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 132 - What Caused The Financial Crisis of 2008?
In todays video we will discuss the Credit Crunch, and the role played by credit derivatives and securitization.Buy My Book Here: https://amzn.to/2wDMInhThe Big Short https://amzn.to/2JcyAnxSoros Book https://amzn.to/2JdEqFfFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleCredit Derivatives and the Financial Crisis of 2007 -2008What Caused the Financial Crisis of 2008?Easy availability of credit in the United States, fueled by low interest rates and reduced credit monitoring by financial institutions, led to a housing boom which facilitated debt-financed consumer spending. The existence of credit derivatives and securitization allowed financial institutions to make larger volumes of riskier loans than had been made in the past and consumers assumed an unprecedented debt load.Between 1998 and 2006, the price of the typical American house increased by 124%. Between 1981 and 2001, the national median home price ranged from 2.9 to 3.1 times median household income. This rose to 4.6 times median household income in 2006. When home prices declined in the latter half of 2007 and the secondary mortgage market collapsed, a global financial crisis was triggered. Credit derivatives were blamed by many for bringing about this crisis, or for intensifying it. Credit ratings agencies are widely believed to have failed the markets in their calculations of credit risks on credit derivative products in the lead up to the financial crisis of 2007-2008. They relied on models that were given to them by the credit derivative issuers. The fact that they are paid by the security issuer, rather than the buyer, brought their impartiality into question. There is a structural conflict in this market whereby investors are the beneficiaries or ultimate end users of credit ratings calculations, yet the party paying for the ratings themselves is the issuer. On the back of the financial crisis, politicians and regulators globally are pressuring originators to resume the former practice of maintaining at least some of the credit risks on the instruments they originate on their own balance sheets. Politicians face a trade-off of hoping to incentivize high consumer spending and home-ownership rates to boost GDP and achieve social goals associated with home-ownership while seeking to avoid the negative outcomes from widespread over-indebtedness from lax credit standards and real estate bubbles. Stronger credit controls stabilize an economy but reduce home values, decrease homeownership levels, and reduce an economy’s GDP growth. Learn more about your ad choices. Visit megaphone.fm/adchoices
Tue, 20 Oct 2026 - 131 - Is China Dumping the Dollar? - And is Ray Dalio Right about Reserve Currencies?
🌟Go to http://covepure.com/patrick to get $200 OFF now!In the wake of trump's liberation day tariffs, stocks, bonds and the US dollar collapsed all at once as investors started dumping American assets. Some commentators argued that China might be behind the selling to put the US government under pressure. In this week's video let's discuss if it is wise to sell US assets should investors demand a risk premium, is Ray Dalio is right about how reserve currencies change over time and what is the Mar A Lago accord?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 19 Oct 2026 - 130 - What is a CDO? | Collateralized Debt Obligation | Credit Derivatives
What is a CDO? | Collateralized Debt Obligation | Credit DerivativesBuy The Book Here: https://amzn.to/37HIdEBFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyleWhat is a CDO?A collateralized debt obligation (CDO) is a type of structured asset-backed security (ABS). Originally developed as instruments for the corporate debt markets, after 2002 CDOs became vehicles for refinancing mortgage-backed securities (MBS). Like other private label securities backed by assets, a CDO can be thought of as a promise to pay investors in a prescribed sequence, based on the cash flow the CDO collects from the pool of bonds or other assets it owns. Distinctively, CDO credit risk is typically assessed based on a PD derived from ratings on those bonds or assets. The CDO is "sliced" into "tranches", which "catch" the cash flow of interest and principal payments in sequence based on seniority. If some loans default and the cash collected by the CDO is insufficient to pay all of its investors, those in the lowest, most "junior" tranches suffer losses first. The last to lose payment from default are the safest, most senior tranches. Consequently, coupon payments (and interest rates) vary by tranche with the safest/most senior tranches receiving the lowest rates and the lowest tranches receiving the highest rates to compensate for higher default risk. As an example, a CDO might issue the following tranches in order of safeness: Senior AAA; AA; A; BBB; Residual.Separate special purpose entities—rather than the parent investment bank—issue the CDOs and pay interest to investors. As CDOs developed, some sponsors repackaged tranches into yet another iteration, known as "CDO-Squared", "CDOs of CDOs" or "synthetic CDOs". In the early 2000s, the debt underpinning CDOs was generally diversified, but by 2006–2007—when the CDO market grew to hundreds of billions of dollars—this had changed. CDO collateral became dominated by high risk (BBB or A) tranches recycled from other asset-backed securities, whose assets were usually subprime mortgages. These CDOs have been called "the engine that powered the mortgage supply chain" for subprime mortgages, and are credited with giving lenders greater incentive to make subprime loans, leading to the 2007-2009 subprime mortgage crisis. Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 129 - America's Shopping Addiction!
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comFor decades, the American consumer has powered not just the world's biggest economy but the entire global economy. According to the World Bank – Americans make up around one third of global consumer spending but are only 4% of the global population. We should only be so surprised by this – Americans are amongst the most productive workers in the world and thus are amongst the best paid – the fact that they are both busy and highly paid makes them naturally big consumers.In today's video we look at how tariffs, the end of the de minimis exemption and lower consumer conference may affect the American consumer.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 128 - What is a Credit Default Swap? | CDS | Credit Derivatives
In todays video we learn about Credit Default Swaps - Credit Derivatives.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is a Credit Default Swap?a financial contract whereby a buyer of corporate or sovereign debt in the form of bonds attempts to eliminate possible loss arising from default by the issuer of the bonds. This is achieved by the issuer of the bonds insuring the buyer’s potential losses as part of the agreement.A credit default swap (CDS) is a financial swap agreement that the seller of the CDS will compensate the buyer in the event of a debt default (by the debtor) or other credit event. That is, the seller of the CDS insures the buyer against some reference asset defaulting. The buyer of the CDS makes a series of payments (the CDS "fee" or "spread") to the seller and, in exchange, may expect to receive a payoff if the asset defaults.In the event of default, the buyer of the CDS receives compensation (usually the face value of the loan), and the seller of the CDS takes possession of the defaulted loan or its market value in cash. However, anyone can purchase a CDS, even buyers who do not hold the loan instrument and who have no direct insurable interest in the loan (these are called "naked" CDSs). If there are more CDS contracts outstanding than bonds in existence, a protocol exists to hold a credit event auction. The payment received is often substantially less than the face value of the loan.Credit default swaps in their current form have existed since the early 1990s, and increased in use in the early 2000s. By the end of 2007, the outstanding CDS amount was $62.2 trillion, falling to $26.3 trillion by mid-year 2010 and reportedly $25.5 trillion in early 2012. CDSs are not traded on an exchange and there is no required reporting of transactions to a government agency. During the 2007–2010 financial crisis the lack of transparency in this large market became a concern to regulators as it could pose a systemic risk. In March 2010, the Depository Trust & Clearing Corporation (see Sources of Market Data) announced it would give regulators greater access to its credit default swaps database.CDS data can be used by financial professionals, regulators, and the media to monitor how the market views credit risk of any entity on which a CDS is available, which can be compared to that provided by the Credit Rating Agencies. U.S. Courts may soon be following suit.Most CDSs are documented using standard forms drafted by the International Swaps and Derivatives Association (ISDA), although there are many variants. In addition to the basic, single-name swaps, there are basket default swaps (BDSs), index CDSs, funded CDSs (also called credit-linked notes), as well as loan-only credit default swaps (LCDS). In addition to corporations and governments, the reference entity can include a special purpose vehicle issuing asset-backed securities. Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 127 - Why Is Russia's Economy Growing?
⬇️ Check out OpenDots ONE below ⬇️Shokz.com: https://sdqk.shokz.com/PatrickBoyle/OpenDotsONE?utm_content=linkAmazon: https://sdqk.shokz.com/PatrickBoyle/Amazon?utm_content=linkSince Russia invaded Ukraine in 2022, its economy has surpassed most expectations. Last year, Russia’s economy grew more than the United States and Europe and on top of that Russian unemployment is at a record low. What is causing this growth and how are wartime economies different? Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 126 - What are Asset Backed Securities?
In todays video we learn what are asset backed securities, what are credit card receivables and what is a Special Purpose Vehicle (SPV)?These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is an Asset-Backed Security (ABS)?An asset-backed security (ABS) is a financial security collateralized by a pool of assets such as loans, leases, credit card debt, royalties or receivables. For investors, asset-backed securities are an alternative to investing in corporate debt. An ABS is similar to a mortgage-backed security, except that the underlying securities are not mortgage-based.Credit card asset-backed securities (ABSs) are fixed-income bonds based on the cash flow stream from pooled credit card accounts. First issued in 1987, credit card ABSs are mostly high quality, pay good yields, and are liquid, with transparent prices. The number of credit card ABSs increase as the use of credit increases. However, like most asset-backed securities and unlike most corporate or government bonds, credit card ABSs have only an average maturity rather than a specified maturity because the underlying cash flow is highly variable. Credit card ABSs are structured so as to mimic the cash flow of a typical bond, but the timing of the cash flow is usually not guaranteed.The process of securitizing credit card receivables is very similar to that of securitizing mortgages and other loan obligations. A card issuer sells a group of accounts to a trust, which issues securities backed by those receivables. The card issuer still services the account, but the assets are removed from its balance sheet. This allows the card issuer to issue more accounts and to reduce its capital reserve requirements, the amount of money banks are required by law to hold to do business. This money doesn't earn interest, so, naturally, the card issuer wants to reduce its required reserves as much as possible. As the cardholders pay on their accounts monthly, most of the money is sent to the trust, which pays the holders of the credit card ABSs interest and principal. The card issuer retains a servicing fee and part of the finance charge as profit, and also includes part of the principal—the seller's interest.Securitization allows more rapid growth of banks specializing in credit card issuances by providing a source of funding and transferring risk. Before the securitization of credit card receivables, card issuers borrowed money from a bank or relied on bank deposits to fund credit card loans. Securitization greatly expanded funding for credit card issuers, including monoline issuers, and issuers whose main business is not banking or issuing credit cards, such as Amazon.com.A special-purpose vehicle, or special-purpose entity (SPE; or SPV, or, in some cases in each EU jurisdiction – FVC, financial vehicle corporation) is a legal entity (usually a limited company of some type or, sometimes, a limited partnership) created to fulfill narrow, specific or temporary objectives. SPEs are typically used by companies to isolate the firm from financial risk. A formal definition is "The Special Purpose Entity is a fenced organization having limited predefined purposes and a legal personality"Trading and pricing financial derivatives. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 125 - The Biggest Wealth Transfer In History is Happening Right Now!
Go to https://surfshark.com/boyle and use code BOYLE at checkout to get 4 extra months of Surfshark VPN!Let's talk about The Great Wealth Transfer, what this means for the economy, and why millennials are expected to become the Wealthiest Generation in history.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/joinBooks Mentioned:The Missing Billionaires - Haghani & White https://amzn.to/4di55hq Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 124 - What are Credit Derivatives?
In Todays video we will learn all about Credit Derivatives including Asset Backed Securities (ABS) Credit Default Swaps (CDS) and Collateralized Debt Obligations (CDO's)These classes are all based on the book Derivatives For The Trading Floor, available on Amazon at this link. https://amzn.to/3GdLi2s Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat are Credit Derivatives?In finance, a credit derivative refers to any one of "various instruments designed to separate and then transfer the credit risk" or the risk of an event of default of a corporate or sovereign borrower, transferring it to an entity other than the lender or debtholder.An unfunded credit derivative is one where credit protection is bought and sold between bilateral counterparties without the protection seller having to put up money upfront or at any given time during the life of the deal unless an event of default occurs. Usually these contracts are traded pursuant to an International Swaps and Derivatives Association (ISDA) master agreement. Most credit derivatives of this sort are credit default swaps. If the credit derivative is entered into by a financial institution or a special purpose vehicle (SPV) and payments under the credit derivative are funded using securitization techniques, such that a debt obligation is issued by the financial institution or SPV to support these obligations, this is known as a funded credit derivative.This synthetic securitization process has become increasingly popular over the last decade, with the simple versions of these structures being known as synthetic collateralized debt obligations (CDOs), credit-linked notes or single-tranche CDOs. In funded credit derivatives, transactions are often rated by rating agencies, which allows investors to take different slices of credit risk according to their risk appetite.The market in credit derivatives started in 1993 after having been pioneered by J.P. Morgan. By 1996 there was around $40 billion of outstanding transactions, half of which involved the debt of developing countries.Credit default products are the most commonly traded credit derivative products and include unfunded products such as credit default swaps and funded products such as collateralized debt obligations.Credit market participants, regulators, and courts are increasingly using credit derivative pricing to help inform decisions about loan pricing, risk management, capital requirements, and legal liability. The ISDA reported in April 2007 that total notional amount on outstanding credit derivatives was $35.1 trillion with a gross market value of $948 billion. Although the credit derivatives market is a global one, London has a market share of about 40%, with the rest of Europe having about 10%.The main market participants are banks, hedge funds, insurance companies, pension funds, and other corporates.What is a credit derivative? Trading and Pricing Financial Derivatives Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 123 - Trump’s Big Pharma Battle: Real Reform or Empty Promise?
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off 🙌 DeleteMe international Plans: https://international.joindeleteme.comDonald Trump has promised to slash the US’s high prescription medication prices by as much as 80 per cent with an executive order that seeks to force other countries to pay more for their medicines.“Americans will no longer be forced to pay almost three times more for the exact same medicines, often made in the exact same factories,” the order said. “As the largest purchaser of pharmaceuticals, Americans should get the best deal.” Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 122 - What are Dividend Swaps, commodity swaps, equity swaps?
In todays video we will learn about Dividend Swaps, Commodity Swaps and Equity Swaps.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat are Dividend Swaps?A dividend swap is an over-the-counter financial derivative contract (in particular a form of swap). It consists of a series of payments made between two parties at defined intervals over a fixed term. One party - the holder of the fixed leg - will pay its counterparty a pre-designated fixed payment at each interval. The other party - the holder of the floating leg - will pay its counterparty the total dividends that were paid out by a selected underlying, which can be a single company, a basket of companies, or all the members of an index. The payments are multiplied by a notional number of shares.Like most swaps, the contract is usually arranged such that its value at signing is zero. This is accomplished by making the value of the fixed leg equal to the value of the floating leg - in other words, the fixed leg will be equal to the average expected dividends over the term of the swap. Therefore, the fixed leg of the swap can be used to estimate market forecasts of the dividends that will be paid out by the underlyingWhat is a Commodity Swap?A commodity swap is a type of swap agreement whereby a floating (or market or spot) price based on an underlying commodity is traded for a fixed price over a specified period.The vast majority of commodity swaps involve oil. Many airline and rail companies enter oil commodity swap deals in order to secure lower oil costs in the long term. A commodity swap is similar to a fixed-floating interest rate swap. The difference is that in an interest rate swap, the floating leg is based on standard interest rates such as LIBOR and EURIBOR. However, in a commodity swap, the floating leg is based on the price of underlying commodity like oil, sugar, and precious metals. No commodities are exchanged during the trade. In this swap, the user of a commodity would secure a maximum price and agree to pay a financial institution this fixed price. Then, in return, the user would get payments based on the market price for the commodity involved. On the other side, a producer wishes to fix the income and would agree to pay the market price to a financial institution, in return for receiving fixed payments for the commodity. What is an equity swap?An equity swap is a financial derivative contract (a swap) where a set of future cash flows are agreed to be exchanged between two counterparties at set dates in the future. The two cash flows are usually referred to as "legs" of the swap; one of these "legs" is usually pegged to a floating rate such as LIBOR. This leg is also commonly referred to as the "floating leg". The other leg of the swap is based on the performance of either a share of stock or a stock market index. This leg is commonly referred to as the "equity leg". Most equity swaps involve a floating leg vs. an equity leg, although some exist with two equity legs. An equity swap involves a notional principal, a specified duration and predetermined payment intervals. The term "tenor" may refer either to the duration or the coupon frequency.Trading and Pricing Financial Derivatives Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 121 - The Alarming Rise in Global Debt!
Happy FlexiSpot Brand Day & Memorial Day Sale, up to 65% OFF —on May 26th at 9:00 AM, the first 20 customers to place an order will have a chance to get it 100% free. If you are on a budget, FlexiSpot premium E7 will be a great option. Shop now and if you liked it, leave a note saying “Patrick Boyle” at checkout and use my code ''YTE7P50'' to get EXTRA $50 off on the E7 Plus/E7 Pro/E7L standing desk or "YTE730" to get EXTRA $30 off on the E7 standing desk!FlexiSpot E7Plus standing desk:USA: https://bit.ly/3Fd9lSUCAN: https://bit.ly/44EIpFVDeveloped economies around the world have been growing their debts over the last twenty-five years. This was less of a problem when interest rates were close to zero but in the era of trade wars, lower credit ratings and higher interest rates, debt is more expensive to issue and service. Bond investors have worried that governments are addicted to debt for quite some time, and recent drama in the Japanese bond market along with the deficit spending of Trump's "one big beautiful bill" lead many to question the ability of governments to cover massive budget deficits. This video looks at the drivers of growing government debt, what the money is spent on, can Elon Musk's DOGE cut spending and analyze the role of the 'bond vigilantes', to understand if huge budget deficits and government borrowing could spiral out of control. Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 119 - Art Market Collapse?
👉 To try everything Brilliant has to offer for free for a full 30 days, visit https://brilliant.org/patrick/. You’ll also get 20% off an annual premium subscription.Why did the star lot of the spring season, a bronze head by the master sculptor Alberto Giacometti, fail to sell at Sotheby’s?Alberto Giacometti’s 1955 bust, “Grande tête mince" (“Big Thin Head”), carried a pre-sale estimate of $70 million in Sotheby’s Modern evening auction. The auctioneer started the bidding at $59 million dollars. But no one bid - the piece went unsold. It was the second high-profile lot to disappoint in two days. Andy Warhol’s “Big Electric Chair” (1967-68) was withdrawn from Christie’s 20th century evening auction the day before. Is the fine art market in trouble?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 118 - Pricing Interest Rate Swaps
In todays video we will learn the two methods for pricing interest rate swaps.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleInterest Rate Swap ValuationSwaps are typically valued at zero at inception. Afterwards they, may take on a positive or negative valuation. Swaps are a zero-sum game, one counterparty’s gain is equal to the other counterparty’s loss.A plain vanilla interest rate swap can be priced as either a combination of a long position in one bond and a short position in another bond, or as a portfolio of forward-rate-agreements. In this video we will learn about both the bond valuation approach and the FRA (Forward rate agreement) approach to pricing interest rate swaps.Trading and Pricing Financial Derivatives Learn more about your ad choices. Visit megaphone.fm/adchoices
Mon, 26 Oct 2026 - 117 - The Trump Musk Blowup!
Head over to https://eightsleep.yt.link/1E2h8CM to get $350 off your very own Pod 5 Ultra. The best part is that you still get 30 days to try it at home and return it if you don’t like it - but I am confident you will keep it. Trust me, your body will thank you for this investment in better sleep. Shipping to many countries worldwide. See details at https://eightsleep.yt.link/1E2h8CMDonald Trump and Elon Musk have been locked in a public fight after Musk spent days bashing Trump's "big, beautiful bill" — a multi-trillion dollar budget key to unlocking the president's agenda currently being voted on in the Senate. In return, the president threatened to cut the federal government's contracts with Musk's companies, including SpaceX.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sun, 25 Oct 2026 - 116 - Swaps and The Law of Comparative Advantage - How to do the comparative advantage swap calculation.
In todays video we learn about how Swap participants benefit from the law of comparative advantage.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleSwaps and Comparative AdvantageIn economics, the law of absolute advantage stated that countries should specialize in what they are best or most efficient at producing, and then exchange these goods with other countries, making both countries better off.David Ricardo’s vital contribution to economic thought was the law of comparative advantage, an economic theory stating that even if one country is more efficient in the production of all goods (absolute advantage in all goods) than the other, both countries will still gain by trading with each other, as long as they have different relative efficiencies. This law helps explain why countries engage in international trade even when one country’s workers are more efficient at producing every single good than workers in other countries.It is easy to understand how if one company is able to get a better deal in fixed-rate borrowing, but prefers to borrow at a floating rate, while another company is in the equal and opposite situation, it might make sense for these two companies to enter into a swap. In the situation where one firm has better access to the capital markets than all others, it might still make sense for them to enter the swaps market.#comparative advantage swaps calculation Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 115 - What is Backwardation and Contango in Futures Markets?
What is Backwardation and Contango in Futures Markets?These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleContango and backwardation are terms often used within commodity circles. These terms refer to the shape of the futures curve of a commodity such as gold, silver, wheat or crude oil. A futures curve can be plotted on a chart of a particular contract by using an X and Y axis. The X axis contains the various contract expiration dates while the Y axis contains the corresponding futures prices. A normal futures curve will show a rising slope as the prices of futures contracts rises in time. An inverted futures curve will show a falling slope as the prices of futures contracts falls over time.A contango market simply means that the futures contracts are trading at a premium to the spot price. For example, if the price of a crude oil contract today is $100 per barrel, but the price for delivery in six months is $110 per barrel, that market would be in contango. On the other hand, if crude oil is trading at $100 per barrel for delivery right now, and the six month contract is trading at $95 per barrel, then that market would be said to be in backwardation.Contango and backwardation are curve structures seen in futures markets based on several factors. It is important to remember that the futures price eventually converges on the spot price. In other words, any gaps between the futures price and the spot price will close as contract expiration nears.The shape of the futures curve is important to commodity hedgers and speculators. Both care about whether commodity futures markets are contango markets or normal backwardation markets. In 1993, the German company Metallgesellschaft famously lost more than $1 billion dollars, mostly because management deployed a hedging system that profited from normal backwardation markets but did not anticipate a shift to contango markets. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 114 - What is a Protective Put? Options Trading Strategies
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is a Protective Put? A protective put is a trading or investment strategy that investors can use to guard against losses in a stock or other asset. The put option acts like an insurance policy—it costs money, which reduces the investor's potential gains from owning the security but also reduces the risk of losing money if the security declines in value. A protective put is also known as a married put. Breaking Down the Protective Put Protective puts involve being long a stock and purchasing put options for that stock with a strike price that is near the underlying stock's current price or slightly out of the money. A protective put is typically used when an investor is still bullish on a stock but wishes to hedge against potential losses and uncertainty.Profit and Loss The maximum profit of a protective put is theoretically unlimited as the strategy involves being long on the underlying stock. If the stock keeps rising, the long stock position benefits and the bought put option isn't needed.The maximum loss is limited to the purchase price of the underlying stock less the strike price of the put option and the premium paid. The strike price of the put option acts as a barrier where losses in the underlying stock stop. The ideal situation in a protective put is for the stock price to increase, as the investor would benefit from the long stock position. In this case, the put option will expire worthless, but the stock will have increased in value.Take a look at my other two videos in this series, one on covered calls and one on put call parity where we learn the relationship between a protective put and being long a call option.Covered Call Video: https://www.youtube.com/watch?v=UlC9iM2Wh7IPut Call Parity Video: https://www.youtube.com/watch?v=LPrlfElGZJ0&t=0s Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 113 - America’s Tax on Foreign Investors - Section 899
Enjoy 15% off all Hoverpens for the first 48 hours and a 10% offer after! You can also get a FREE shipping to most countries using my code PATRICK➡️ North America / UK / Australia / International: http://bit.ly/patrickb_novium➡️ EU: http://bit.ly/patrickb_noviumeuAs the Senate decides on Donald Trump’s One Big Beautiful Budget, a lesser-known provision tucked into the House-approved bill has drawn attention from Wall Street.The measure, known as Section 899, would allow the U.S. to add a new tax of up to 20% on foreigners with U.S. investments, including multinational companies operating in the U.S.Some analysts call the provision a “revenge tax” due to its wording. It would apply to foreign entities if their home country imposes “unfair foreign taxes” against U.S. companies, according to the bill. Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 112 - Swaps and Credit Derivatives - Revision Lecture
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 111 - How to Lose a Global AI Monopoly in One Afternoon
🚀 Streamline your entire business with Odoo! The all-in-one, easy-to-use ERP platform that centralizes, automates, and scales your operations from sales and accounting to inventory and eCommerce 📈⚙️. Try out Odoo for 15 days (no credit card required) 👉🏻 https://www.odoo.com/r/N0SLast week, shortly after Anthropic launched its most powerful AI models, the U.S. government imposed export controls restricting foreign nationals from accessing them - and rather than try to verify the citizenship of every user on the planet within ninety minutes, Anthropic shut the models down for everyone. In this video we look at what actually happened: the Commerce Department's "is informed" letter, the deemed-export rules that locked Anthropic's own engineers out of their work, the claim that the "national security threat" was essentially an AI fixing software bugs, and the awkward detail that the partner who reported it was Amazon - Anthropic's largest backer and a direct competitor. We also dig into why all of this matters for Anthropic's near-trillion-dollar valuation, the winner-takes-all assumptions behind frontier AI, the rise of cheap open-source Chinese models, and whether there's really any such thing as a monopoly on math.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 110 - Volatility Trading - Call and Put Options - Trading Tutorial
These classes are all based on the book Derivatives For The Trading Floor, available on Amazon at this link. https://amzn.to/3GdLi2s Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is volatility trading?Volatility trading is the term used to describe trading the volatility of the price of an underlying instrument rather than the price itself. For example, you could trade the price direction of an equity index, but volatility trading typically means trading the expected future volatility of the index. Any instrument whose price moves, exhibits price volatility. Volatility trading is simply buying and selling the expected future volatility of the instrument. Rather than predicting whether the price of an asset will move up or down, volatility traders are concerned with how much movement, in any direction, will occur.How is volatility traded?The most common way to trade volatility is using options. The value of an option is affected by several factors, but an essential determinant of its value is the expected future volatility of the underlying instrument, which is included in the pricing formulas as standard deviation. Other things being equal, options struck on an underlying with higher expected volatility will be more expensive than options struck on an underlying expected to be less volatile. Options therefore are a good way to gain exposure to the volatility of the underlying.The price of volatilityThe value of an option can be attributed to several components. By stripping these away, traders can imply an annualised volatility level that the option’s tick value equates to. This is known as the implied volatility. So an equity index may be trading at a certain price and it may have exhibited a certain realized level of volatility over the previous 12 months. Traders can compare this realized level of volatility with the current implied level as seen in the option market. However, there is a crucial difference here; the implied volatility level refers to the annualized volatility that is expected over the life of the option. In other words, it is forward looking and reflects traders’ current best estimate of what future realized volatility will be. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 109 - Convenience Yield
Today we will learn in financial futures what is convenience yield?These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleIn Financial Futures, what is convenience yield?A convenience yield is the benefit or premium associated with holding an underlying product or physical good, rather than the associated derivative security or contract. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 108 - Prediction Markets Are a Scam With a Chart
Level up your note-taking with Plaud NotePro at https://bit.ly/4c9s3bC and use code “PBOYLE” for 10% OFF!Amazon: https://bit.ly/483LfoU#PLAUD #NoteTakerPrediction markets like Kalshi and Polymarket have been described as "truth machines" that produce more accurate forecasts than traditional polling. In this video we look at how they actually work, why the federal government is fighting individual states over who gets to regulate a bet on a football game, how a soldier allegedly used classified military intelligence to win money on a crypto betting site, and why quantitative trading firms are now paying traders $200,000 a year to build algorithms that systematically take money from retail bettors. We also look at the political connections behind these platforms, the academic research on the social cost of making it very easy to gamble from your phone, and why — after all of this — you still can't trade futures on onions.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 107 - Where is Venezuela’s oil money?
If you’re looking to upgrade your business wardrobe, I can recommend giving Tailor Store a try. Their shirts are made to your measurements, so you can create something that fits both your body and your personal style. My viewers receive 25% off their first order through my link: https://www.tailorstore.com/patrickboyleWhen the United States took control of Venezuela's oil exports in early 2026, it collected an estimated $13 billion in crude sales — but the official ledger in Caracas records almost none of it, and six months on there is still no public accounting of where the money went. In this video we look at what happened to Venezuela's sovereign wealth: the missing oil revenues now sitting in an offshore account in Qatar, the four billion dollars of Venezuelan gold frozen in the vaults of the Bank of England that no one can legally claim, and the court-ordered auction that handed Citgo's parent company to an affiliate of Paul Singer's Elliott Management for nearly $6 billion. Along the way we explain the legal machinery that makes all of this possible — the alter ego doctrine, sovereign immunity and the Bancec ruling, the Terrorism Risk Insurance Act, and the "one voice" principle in English law — and the broader lesson for anyone trying to understand sovereign assets: a nation's wealth held abroad is only yours for as long as someone else's courts, banks and vaults agree that it is. We also cover the aftermath of the June earthquakes, the international relief effort, and why the question of who legitimately governs Venezuela sits at the centre of every one of these disputes.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 106 - Brexit, 10 Years On: What It Actually Cost Britain
Protect your privacy on the cellular level with Cape at https://cape.co/patrickboyle0626 Use code PATRICKBOYLE33 at checkout for 33% off your first 6 months.Ten years on from the 2016 Brexit referendum, the UK is about to appoint its seventh Prime Minister in a decade — so was Brexit worth it? In this video we break down the real economic impact of Brexit: how much it actually cost the UK economy, why the doom-laden Treasury forecasts and the Leave campaign's £350 million NHS bus were both wrong, and what the data really shows about GDP, trade, the City of London, and business investment. We dig into the goods-versus-services split, why the people who voted Leave were hit hardest while the metropolitan elites worked around it, the great post-Brexit immigration paradox and the "Boriswave," whether Britain is really "poorer than Mississippi," and why both Brexit and the new "Rejoin" campaign rely on the same magical thinking. Finally, we look at Brexit as a global turning point — the first crack in the post-Cold-War order — and ask why ten years of arguing about Europe distracted Britain from the domestic problems actually driving its economic stagnation. Featuring research from the NBER, the OBR, the Bank of England, The Economist, the Financial Times and The Atlantic.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 105 - What is a Covered Call? - Options Trading
What is a Covered Call? - Options Trading StrategiesThese classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleA covered call (oftenalso called a "buy-write" strategy) is a financial market transaction in which the seller of call options owns the corresponding amount of the underlying security, such as shares of a stock or other securities. According to put call parity, the strategy has the same payoffs as being short a put option. (See my video on put call parity)The long position in the underlying instrument is said to provide the "cover" as the shares can be delivered to the buyer of the call if the buyer decides to exercise. Writing (or selling) a call generates income in the form of the premium received from the option buyer. And if the stock price remains stable or increases, then the writer will be able to keep this income as a profit, even though the profit may have been higher if no call were written. The risk of stock ownership is not eliminated. If the stock price declines, then the overall position will lose money. Since in equilibrium the payoffs on the covered call position is the same as a short put position, the price (or premium) should be the same as the premium of the short put or naked put.Watch Patrick's Other Videos On This TopicProtective Put Video: https://www.youtube.com/watch?v=MUs4jga-NAI&t=26sPut Call Parity Video: https://www.youtube.com/watch?v=LPrlfElGZJ0&t=1s Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 104 - Pricing Financial Futures (Part 2 of 2)
Today we will learn about pricing financial futuresThese classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoylePricing Futures: When the deliverable asset exists in plentiful supply, or may be freely created, then the price of a futures contract is determined via arbitrage arguments. This is typical for stock index futures, treasury bond futures, and futures on physical commodities when they are in supply. When the deliverable commodity is not in plentiful supply or when it does not yet exist — for example on crops before the harvest or on Eurodollar Futures or Federal funds rate futures (in which the supposed underlying instrument is to be created upon the delivery date) — the futures price cannot be fixed by arbitrage. In this scenario there is only one force setting the price, which is simple supply and demand for the asset in the future, as expressed by supply and demand for the futures contract. Make sure you also watch the video on Convenience Yield being released tomorrow. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 103 - SpaceX: The Biggest Money Loser in IPO History
Get an exclusive 15% discount on Saily data plans! Use code BOYLE at checkout. Download Saily app or go to https://saily.com/boyleThis week, SpaceX filed the prospectus for what is expected to be the largest IPO in history. The document is extraordinary — part financial disclosure, part science fiction, and part governance structure that a corporate law professor has described as offering shareholders "no votes, no sales, and no suits." We look at the numbers, the products that don't yet exist, the AI business that SpaceX's own engineers won't use, the related-party transactions, the compensation package tied to a Mars colony the company admits is "improbable," and the one rocket that everything depends on. Everything I am about to tell you comes directly from the filing.Cape Fear Advisors Substack: https://capefearadvisors.substack.com/p/spacex-adding-it-up-the-235-billionPatrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 102 - What are Swaps? Financial Derivatives Tutorial
In todays video we learn about Swaps.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat is a Swap?A swap is a financial derivative in which two counterparties exchange cash flows of one party's financial instrument for those of the other party's financial instrument. For example, in the case of a swap involving two bonds, the two parties would be exchanging the periodic interest (coupon) payments associated with the bonds. With a swap the two counterparties agree to exchange one stream of cash flows against another stream. These streams are called the legs of the swap. The swap agreement defines the dates when the cash flows are to be paid and the way they are accrued and calculated. Usually at the time when the contract is initiated, at least one of these series of cash flows is determined by an uncertain variable such as a floating interest rate, foreign exchange rate, equity price, or commodity price.The cash flows are calculated over a notional principal amount. Contrary to a future, a forward or an option, the notional amount is usually not exchanged between counterparties. Consequently, swaps can be in cash or collateral. Swaps can be used to hedge certain risks such as interest rate risk, or to speculate on changes in the expected direction of underlying prices. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 101 - Energy Markets are on the Verge of a Disaster!
They can't harm you, if they can't find you! Use code BOYLE at the link below and get 60% off an annual plan: https://incogni.com/boyleThe stock market just hit a record high. Meanwhile, captains in the Persian Gulf are turning off their transponders and sneaking through the Strait of Hormuz in the dead of night. Only five ships made it through yesterday. The seaborne oil buffer that insulated the global economy in the early weeks of the conflict is now completely exhausted, and the knock-on effects - from jet fuel shortages in Europe to a fertilizer crisis threatening this year's harvest - are only just beginning to show up in the data. In this video, we look at why the physical commodity markets are telling a very different story to the stock market, and what happens when the world's most critical trade route is caught between two competing blockades.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 100 - Exercising Options - How and why do you exercise an options contract? Put Options and Call options
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleExercising OptionsCalls and put options give the owner the right to buy or sell a stock at a certain price by a certain date. When the owner of that call or put option has an option that is "in-the-money" and decides to buy or sell the stock, it is said that they are "exercising" their option. However, just because an option is "in-the-money" it doesn't mean that it is always in the best interest of the option holder to exercise it. Most of the time the option owner is better off to just sell the option at the current market price. This is because the option price is usually higher than the "intrinsic value", or the amount the option is actually "in-the-money." At expiration date, it usually makes sense to exercise the option.When to Exercise a Call OptionIf you own a call option and the stock price is HIGHER than the strike price at expiration, then it makes sense for you to exercise your call. This way you can buy the stock at a lower price and immediately sell it in the market at the higher price.When to Exercise a Put OptionIf you own a put option and the stock price is LOWER than the strike price at expiration, then it makes sense for you to exercise your put. This way you can sell the stock at a higher price and immediately buy it back at the lower price.I will do another video shortly on when it is optimal to early exercise options.Trading options. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 99 - The Volatility Smile - Options Trading Lessons
The volatility smile is a real-life pattern that is observed when different strikes of option, with the same underlying and same expiration date are plotted on a graph.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoylePatreon Page: https://www.patreon.com/PatrickBoyleOnFinanceVolatility smiles are implied volatility patterns that arise in pricing financial options. It corresponds to finding one single parameter (implied volatility) that is needed to be modified for the Black-Scholes formula to fit market prices. In particular for a given expiration, options whose strike price differs substantially from the underlying asset's price command higher prices (and thus implied volatilities) than what is suggested by standard option pricing models. These options are said to be either deep in-the-money or out-of-the-money. Graphing implied volatilities against strike prices for a given expiry yields a skewed "smile" instead of the expected flat surface. The pattern differs across various markets. Equity options traded in American markets did not show a volatility smile before the Crash of 1987 but began showing one afterwards. It is believed that investor reassessments of the probabilities of fat-tail have led to higher prices for out-of-the-money options. This anomaly implies deficiencies in the standard Black-Scholes option pricing model which assumes constant volatility and log-normal distributions of underlying asset returns. Empirical asset returns distributions, however, tend to exhibit fat-tails (kurtosis) and skew. Modelling the volatility smile is an active area of research in quantitative finance, and better pricing models such as the stochastic volatility model partially address this issue. A related concept is that of term structure of volatility, which describes how (implied) volatility differs for related options with different maturities. We will be learning about that in tomorrows video. An implied volatility surface is a 3-D plot that plots volatility smile and term structure of volatility in a consolidated three-dimensional surface for all options on a given underlying asset. Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 98 - Financial Futures Payoff Diagrams
Financial Futures Payoff DiagramsIn This Video we look at the payoff diagrams of being long and short futures contracts and how this might differ from being long and short the underlying. We learn a bit about how an investor shorts a given underlying and why it might be more efficient to short a futures contract.In later videos we will learn about options payoff diagrams, in order to understand those diagrams it is important to understand what is being said in these much simpler diagrams.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleA futures contract is a standardized contract between two parties, to trade an asset at a specified price at a specified future date. The seller will deliver the underlying and the buyer will take delivery of the underlying and pay the agreed-upon price. The price that is agreed on is known as the future price or the delivery price and is determined when the contract is entered into. Since the price of the future is dependent on the price of the asset, this is a derivative instrument.A futures contract is very similar to a forward contract. However, the futures market evolved to reduce the illiquidity and counter-party risk of forward contracts. A clearing house acts as the middleman, which performs the trade with both the buyer and seller. Clearinghouses overcome the potential credit risk by requiring the participants to put up an initial amount of cash, known as the initial margin. Futures positions are marked to market, and if there are insufficient funds, the exchange will require an additional maintenance margin, or is allowed to immediately liquidate the position. Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 97 - The Real Reason European Cars Can't Compete
Taking care of your health just got easier, thanks to my sponsor Zocdoc! Start here at: https://zocdoc.com/partickboyleEurope's automotive industry is facing a historic crisis as Volkswagen weighs unprecedented factory closures and massive job cuts. However, the root of the problem isn't just high energy costs or European bureaucracy—it's China Shock 2.0. With Chinese electric vehicle (EV) manufacturers building cars significantly faster and for thousands of euros less, traditional German automakers are rapidly losing market share both at home and abroad. This video analyzes the structural trade imbalances flooding the market with subsidized EVs, explains why laying off workers won't solve Volkswagen's €6,000 per-car cost gap, and examines whether new European Union tariffs will protect domestic manufacturing or simply trigger a costly global trade war.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 96 - Simple Options Positions - Call Options - Put Options - Long and Short - Beginners Tutorial
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleThere is no free lunch with stocks and bonds. Options are no different. Options trading involves certain risks that the investor must be aware of before making a trade.Options are derivatives of financial securities – their value depends on the price of some other asset. That is essentially what the term, derivative, means. There are many different types of securities that fall under the label of derivative, including calls, puts, futures, forwards, swaps (of which there are many types), and credit derivatives which we will cover in a future video.Options represent the right (but not the obligation) to take some sort of action (buy or sell an underlying security) by a predetermined date (the expiration date). There are two types of options, calls and puts. And there are two sides to every option transaction -- the party buying the option, and the party selling (also called writing) the option. Each side comes with its own risk/reward profile and may be entered into for different strategic reasons. The buyer of the option is said to have a long position, while the seller of the option (the writer) is said to have a short position.Note that tradable options are contracts between two parties. The companies whose securities underlie the option contracts are themselves neither involved in the transactions nor the cash flows between the various parties in the market. In any option trade, the counterparty may be another investor, or perhaps a market maker (a type of middle man offering to both buy and sell a particular security in the hopes of making a profit on the differing bid/ask prices). All parties it should be noted do not directly face each other, instead they face the options clearinghouse, and I have a separate video on that topic.What's a call option?A call option, is the option to buy the underlying stock at a pre-agreed price (the strike price) by a pre-agreed date (the expiration date). The buyer of a call has the right to buy shares at the strike price until expiration. The seller of the call (also known as the call "writer") is the one with the corresponding obligation. If the call buyer decides to buy (known as exercising the option) the call writer is obliged to sell their shares to the call buyer at the strike price.If an investor bought a call option on Apple Computer stock with a strike price at $100 expiring in two months. That call buyer has the right to exercise that option, paying $100 per share, and receiving the shares. The writer of the call would have the obligation to deliver those shares and be happy receiving $100 for them. What's a put option?If a call is the right to buy, then perhaps unsurprisingly, a put is the option to sell the underlying stock at a predetermined strike price until a fixed expiry date. The put buyer has the right to sell shares at the strike price, and if he/she decides to sell, the put writer is obliged to buy at that price.Why use options?A call buyer seeks to make a profit when the price of the underlying shares rises. The call price will rise as the shares do. The call writer is making the opposite bet, hoping for the stock price to decline or, at the very least, rise less than the amount received for selling the call in the first place.The put buyer profits when the underlying stock price falls. A put increases in value as the underlying stock decreases in value. Conversely, put writers are hoping for the option to expire with the stock price above the strike price, or at least for the stock to decline an amount less than what they have been paid to sell the put.We'll note here that relatively few Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 95 - Pricing Financial Futures (Part 1 of 2)
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoylePricing Futures: When the deliverable asset exists in plentiful supply, or may be freely created, then the price of a futures contract is determined via arbitrage arguments. This is typical for stock index futures, treasury bond futures, and futures on physical commodities when they are in supply. When the deliverable commodity is not in plentiful supply or when it does not yet exist — for example on crops before the harvest or on Eurodollar Futures or Federal funds rate futures (in which the supposed underlying instrument is to be created upon the delivery date) — the futures price cannot be fixed by arbitrage. In this scenario there is only one force setting the price, which is simple supply and demand for the asset in the future, as expressed by supply and demand for the futures contract. See part two of pricing futures for adjustments to the formula that we learn in this video.Make sure you also watch the video on Convenience Yield being released tomorrow. Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 94 - What is an Options Contract in Finance
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleWhat are Financial Options?Options are a financial derivative sold by an option writer or seller to an option buyer. They are typically purchased through a broker. The contract gives the buyer the right, but not the obligation, to buy (call option) or sell (put option) the underlying asset at an agreed-upon price during a certain period of time or on a specific date. The agreed upon price is called the strike price. American options can be exercised any time before the expiration date of the option, while European options can only be exercised on the expiration date (also known as exercise date). Exercising an option means utilizing the right to buy or the sell the underlying security.What is a call option? Call options provide the option buyer with the right to buy an underlying security at the strike price. The buyer of a call option is bullish and wants the price of the stock to go up. Conversely, the option seller (or writer) has to sell the underlying security to the option buyer, at the strike price, in the event that the stock's market price is above the strike price at expiration.An option writer who sells a call option believes that the underlying stock's price will drop or stay the same relative to the option's strike price during the life of the option, as that is how they will reap maximum profit. The writer's maximum profit is the premium received when selling the option. If the buyer is right, and the stock rises above the strike price, the buyer will be able to acquire the stock for a lower price (strike price) and then sell it for a profit at the current market price. However, if the underlying stock is not above the strike price on the expiration date, the option buyer loses the premium paid for the call option.What is a put option? Put options give the option buyer the right but not the obligation to sell the underlying at the strike price. The put buyer is bearish and wants the stock to go down. The opposite is true for a put option writer who writes a put option believing that the underlying stock's price will stay the same or increase over the life of the option.If the underlying stock's price closes above the specified strike price on the expiration date, the put option writer's maximum profit is achieved. They get to keep the entire premium.Conversely, a put option buyer benefits from a fall in the underlying stock's price below the strike price. If the underlying stock's price falls below the strike price, the put option writer is obliged to purchase shares of the underlying stock at the strike price. The put option buyer's profit, if applicable, is calculated by taking the Strike Price – (Current market price + Premium paid). This is then multiplied by 100 (if each contract is 100 shares) and the number of contracts bought. Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 93 - The Term Structure of Volatility and the Volatility Surface
Today we will learn about the volatility Surface.These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyleThe Volatility Surface ExplainedThe volatility surface is a three-dimensional plot of stock option implied volatility seen to exist due to discrepancies with how the market prices stock options and what stock option pricing models say that the correct prices should be. Of all the variables used in the Black-Scholes model, the only one that is not known with certainty is volatility. At the time of pricing, all of the other variables are clear and known, but volatility must be an estimate. The volatility surface is a three-dimensional plot where the x-axis is the time to maturity, the z-axis is the strike price, and the y-axis is the implied volatility.The volatility surface is made up of the volatility smile and the term structure of option volatility.The volatility surface trading Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 92 - Is Russia Actually Losing?
Go to http://ground.news/pb for a better way to stay informed. Subscribe for 40% off unlimited access to worldwide coverage through my link.Russia's war economy is running out of road. Ukrainian drone strikes have knocked out roughly a third of Russia's oil refining capacity, forcing an energy superpower to ration petrol at home and import gasoline from India — while Crimea sits under a state of emergency with the air-raid sirens switched off so the tourists aren't disturbed. In this video we look at what the numbers actually say: a contracting economy despite record military spending, a National Wealth Fund down from 6.5% of GDP to 1.8%, a first-quarter budget deficit that blew through the entire year's target in ninety days, and a banking system quietly commandeered to keep the tank factories running. We look at how China has turned the "no limits" partnership into a very one-sided arrangement, why Europe's largest rearmament since the Cold War sent defence stocks down, whether Europe actually needs expensive American fighter jets or is simply paying tribute to Washington — and what the Russian endgame realistically looks like, according to a Russian billionaire who is not a dissident. Featuring the Kiel Institute's "Endgame" report, Tucker Carlson's demon, and the parade Vladimir Putin had to get Zelensky's permission to hold.Most of the economic figures in this video came from the Kiel Institute paper - Endgame: Russia’s war economy hits its limits. https://www.kielinstitut.de/publications/news/endgame-russias-war-economy-hits-its-limits/Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Thu, 22 Oct 2026 - 91 - The Best and Worst Wall Street Films!
Ad: 🔒Remove your personal information from the web at https://joindeleteme.com/BOYLE and use code BOYLE for 20% off🙌🏻 DeleteMe international Plans: https://international.joindeleteme.comPatrick Boyle, a former Wall Street trader, rates the biggest finance movies like "The Wolf of Wall Street," "The Big Short," "Rogue Trader" and "American Psycho" for realism.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 90 - Options Margin
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Learn more about your ad choices. Visit megaphone.fm/adchoices
Sat, 24 Oct 2026 - 89 - An Introduction To Options - Revision Lecture
Buy The Book Here: https://amzn.to/2Vo18lnFollow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 88 - The Volatility Surface and Exotics - Revision Lecture
These classes are all based on the book Trading and Pricing Financial Derivatives, available on Amazon at this link. https://amzn.to/2WIoAL0 Check out our website http://www.onfinance.org/Follow Patrick on twitter here: https://twitter.com/PatrickEBoyle Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 87 - Private Equity’s Quiet Crisis!
⚡️ Build something with Lovable ➡️➡️https://lovable.link/patrickboylePrivate equity has long promised smooth returns, operational excellence, and sophisticated diversification. But behind the pitch decks and performance charts lies a growing crisis. In this video, we explore:🔹 Why private equity firms are struggling to exit investments🔹 The illusion of stability created by stale pricing🔹 The role of leverage in driving returns — and fragility🔹 The push into 401(k)s and what it means for retail investors🔹 The rise of continuation funds, NAV loans, and other liquidity maneuvers🔹 The social and regulatory backlash against PE roll-up strategies🔹 What Bain, Buffett, and Cliff Asness really think about the modelFrom inflated IRRs to collapsing portfolio companies, the cracks are starting to show. Is private equity still a smart bet — or just a sophisticated shell game?Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 86 - The Chainsaw Stalls: Can Milei Cut Through Argentina’s Currency Collapse?
Go to ➞ https://surfshark.com/boyle or use code BOYLE at checkout to get 4 extra months of Surfshark VPN!Argentina’s economy is in crisis—again. President Javier Milei’s reforms slashed inflation and balanced the budget, but now the peso is under siege. In this video, we unpack the $20 billion U.S. bailout, the speculative pressure on Argentina’s currency, and the political risks ahead of the October 26 midterms.We’ll look at:Why the U.S. Treasury is buying pesos for the first time in decadesHow Milei’s fixed-but-adjustable exchange rate is draining reservesThe geopolitical angle: China, soybeans, and Washington’s strategic betWhat history tells us about defending overvalued currenciesWhether Milei’s reform agenda can survive—or if the chainsaw has stalledPatrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026 - 85 - The Insane US-Japan Currency Bailout
Level up your note-taking with Plaud NotePro at https://bit.ly/4c9s3bC and use code PBOYLE for 15% offAmazon: https://amzn.to/4xFP79QIn July 2026, the US Treasury did something it hadn't done since 1998: it intervened in the currency markets to prop up the Japanese yen — and Treasury Secretary Scott Bessent, a former Soros hedge fund manager, ran the trade in the strangest way possible, selling euros instead of dollars without telling the ECB. But this was never really about Japan. It was about protecting American borrowing costs at a moment when the US is paying more to borrow than it has in decades — with 30-year Treasury yields hitting their highest since 2001. This video breaks down the US-Japan yen intervention, the carry trade, the FIMA facility, and Bessent's huge bet on falling interest rates, and asks the real question underneath it all: is the Treasury Secretary a visionary macro trader, or a cornered man making an enormous gamble with the balance sheet of the United States? A look at currency intervention, the eroding "exorbitant privilege" of the dollar, and why America's cheap borrowing may be coming to an end.Patrick's Books:Statistics For The Trading Floor: https://amzn.to/3eerLA0Derivatives For The Trading Floor: https://amzn.to/3cjsyPFCorporate Finance: https://amzn.to/3fn3rvC Ways To Support The ChannelPatreon: https://www.patreon.com/PatrickBoyleOnFinanceBuy Me a Coffee: https://www.buymeacoffee.com/patrickboyleVisit our website: https://www.onfinance.orgFollow Patrick on Twitter Here: https://bsky.app/profile/pboyle.bsky.socialBusiness Inquiries ➡️ sponsors@onfinance.orgPatrick Boyle On Finance Podcast:Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0bApple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313Google Podcasts: https://tinyurl.com/62862nveJoin this channel to support making this content:https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join Learn more about your ad choices. Visit megaphone.fm/adchoices
Fri, 23 Oct 2026
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