
Vineer Bhansali: Physics, Tail Risk Hedging, and 900% Coronavirus Returns – #43
Manifold
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Is the Liquidity One Twentyth?
The size of the rderiverers markets is between five to 20 times larger. And in front of my eyes, i see what everybodyis banking on, the future's contract. Its liquidity is one twentieth. You multiply 20 by ten tells you things are 200 times likely to get worse. Order magnitude 20, maybe two thousand. Who nows? Nobody. When you have a system weere, there's a dislocation that's hundred to 200 times larger than you've ever seen before,. The market makers are electronic misreally fast. They're doing exactly the same calculus, and they're saying, let's go sell too. Many people are not co understand whatmark right delta,
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