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Talk Your Book: Diversify Your Diversifiers

Animal Spirits Podcast

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How to Buy Options on Interest Rates

Paul Sracic: This is a very concentrated portfolio of options, officially options on swaths. Think of it as like you have a bunch of put options on 30 year treasuries. The value of these options benefited both from the rising level of interest rates and rising rate fall. But to the best time to put on this type of position is on or right after the last rate hike.

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