Delta hedging, which plays a crucial r\^ole in modern financial engineering,
is a tracking control design for a "risk-free" management. We utilize the
existence of trends in financial time series (Fliess M., Join C.: A
mathematical proof of the existence of trends in financial time series, Proc.
Int. Conf. Systems Theory: Modelling, Analysis and Control, Fes, 2009. Online:
http://hal.inria.fr/inria-00352834/en/) in order to propose a model-free
setting for delta hedging. It avoids most of the shortcomings encountered with
the now classic Black-Scholes-Merton framework. Several convincing computer
simulations are presented. Some of them are dealing with abrupt changes, i.e.,
jumps.Comment: 18th Mediterranean Conference on Control and Automation, Marrakech :
Morocco (2010
