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SI225: 2023...Another Great Year for Trend Following? (TTU Group Part 2)

Top Traders Unplugged

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Is It Possible to Capture Extreme Outliers?

The key thing about buying out of the money options is there's a huge difference in magnitude between the premium you're paying out and the potential return you could get. In the sort of trend space because we can kind of do this mapping of between a trend and a long volatility strategy they're sort of the same thing right. So that's one way to make your trend following strategy a bit like holding a portfolio out of themoney you know straddles or whatever. And if all of these things are that are straightforward linear payoff then obviously mathematically nails but I'm very much aware that I'm not an expert in the field so please forgive my terrible analogy.

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