16.15 aT&T example Consider a position of $5 million in aT&t The daily volatility of aT&T is 1% (approx 16% per year) The S D per 10 days is 50000y10=$158144 · The var is 158114×233=$368405 Options, Futures, and other Derivatives, 5th edition 2002 by John C. HullOptions, Futures, and Other Derivatives, 5th edition © 2002 by John C. Hull 16.15 AT&T Example • Consider a position of $5 million in AT&T • The daily volatility of AT&T is 1% (approx 16% per year) • The S.D per 10 days is • The VaR is 50,000 10 = $158,144 158,114  2.33 = $368,405