  We discuss utility based pricing and hedging of jump diffusion processes with
emphasis on the practical applicability of the framework. We point out two
difficulties that seem to limit this applicability, namely drift dependence and
essential risk aversion independence. We suggest to solve these by a
re-interpretation of the framework. This leads to the notion of an implied
drift. We also present a heuristic derivation of the marginal indifference
price and the marginal optimal hedge that might be useful in numerical
computations.
