# Tag Info

Accepted

### Why aren't econometric models used more in Quant Finance?

It's an interesting question. I particularly agree with the $\mathbb{Q}-\mathbb{P}$ dichotomy mentioned by many. I would add to the other answers that, come to think of it, the Black-Scholes ...
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### Why aren't econometric models used more in Quant Finance?

I think you need to differentiate between Q-quants vs P-quants. The former might not use Econometrics, but P-quants use them a lot.
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• 13.7k
Accepted

### Do different prices under different models admit arbitrage?

This phenomenon is not limited to interest rate derivatives. Any time a product is priced to model - be it equity derivatives, commodity derivatives, simple cash products whose price is not observable ...
• 9,219