15. Market Making fundamentals#

15.1. Introduction#

15.2. The market-making business objective#

15.3. Market-Making risks and trade-offs#

15.4. Deconstructing a market-making strategy#

15.4.1. Fair price estimation#

15.4.2. Spread determination#

15.4.3. Hedging the inventory#

15.5. Market - making and market microstructure#

15.5.1. Dealer to Client Platforms#

15.5.2. Limit Order Books#

15.6. Exercises#