NO.PZ202110280100000301
问题如下：
Identify one difference between the trading features of Valley Ranch and North Circle, as noted by Sailors, for each trade strategy selection criterion.
选项：
解释：
Order Characteristics: Key differences include: (i) the sizes of the orders, with larger orders at North Circle; and (ii) the side of the orders, with North Circle skewing more toward buy orders.
Security Characteristics: Key differences include: (i) security type, with North Circle trading only equities; (ii) short-term alpha focus, with more focus on short-term price movements at Valley Ranch; and (iii) security liquidity, with North Circle buying non-listed securities.
Market Conditions: While both North Circle and Valley Ranch are impacted by market conditions overall, North Circle’s investments in non-listed securities are more likely to have a greater potential exposure to adverse market liquidity conditions.
Individual Risk Aversion: The portfolio managers at North Circle and Valley Ranch have different aversions to risk, with North Circle’s managers having lower risk aversion than the Valley Ranch managers.
The order characteristics:
The side of Valley Ranch is long and short.
The side of North Circle is long only.
The trade size of Valley Ranc is small but large in North Circle.
The security characteristics:
The security type of Valley Ranch is both equity and non-equity but only equity in North Circle.
Market condition :
The spreads in dowturn is moderate-to-wide in Valley but very wide in North.
The risk appetite is low in Valley Ranch but moderate to high in North Circle.