The Women in Mathematics committee stands in solidarity with those experiencing racism and joins the call for actions to end systemic racism worldwide and in our own community. We are committed to support the University of Waterloo's immediate actions to create positive changes. You can find more information about the immediate and developing actions in this regard on the Human Rights, Equity and Inclusion (HREI) website.

Carol Tam

Quantitative Analyst, CIBC

  • BMATH and MA in Quatitative Finance, 2008, University of Waterloo
  • Global derivatives and strategic risks, CIBC

Carol TamResponsibilities

  • Provide quantitative support on on the trading floor.
  • Use financial math models to build spreadsheets and programs that compute the values and risks of options and derivatives
  • Test programs developed by other team members.
  • Help in software migration projects - moving from old pricing software to new pricing software. Ensuring that numbers (prices, risk sensitivities) match or explain why they don't math.
  • Provide training and support to people who use our tools and programs.
  • Keep up to date with the continually developed skills related to new financial products, industry trends, financial modelling, and technology.

What is an option?

  • A stock is like a small portion of a company. If the company does well, the stock foes up. If it does poorly, the stock foes down. For example, suppose you buy one share of Tim Hortons for $10. If lots of people buy coffee, the price might increase to $15 and you make $5. If people stop buying coffee, it might go down to $8 and you lose $2.
  • Suppose I say to you on May 1, 2010, I will sell you one share of Tim Hortons for $12, regardless of what the market price is, but only if you want. This is a call option, a type of financial derivative.
  • If the stock is work $12 on May 1, will you buy the stock from me for $12. What if the stock was worth $8?
  • How much would you pay me for this call option? That is, the option to buy one share of Tim Hortons for $12 on May 1?
  • Options can be on anything that's random: stocks, foreign currencies, oil prices, wheat prices, even weather!
Affiliation: 
University of Waterloo

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