The Agency Problem in a World of Uncertainty

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The agency problem that has been with us for a long time. And it's, again, now we're back in kofka territory. The street sought t buffet, thinking that he would be able to price this,. He somewhat innocuously sold these puts and extracted terms by which he would not have to post collateral when those trades went against him. This was actually the original nexus of the buffet trade That occurred in late two thousand six, early two thousand seven.

In this episode of Infinite Loops we spoke with Michael Green, Partner & Chief Strategist at Logica Capital Advisers. In a wide-ranging discussion that could have lasted the rest of the day, we covered:

The passive narrative, and its impact on market structure.
Vanguard and Blackrock’s lobbying efforts.
Target Date Funds and their increasing dominance.
COVID-19 and the government’s response.
The power of language.
Michael’s recent paper: Policy in a World of Pandemics, Social Media, and Passive Investing (linked below)

And much more. You can find Michael’s paper here: https://www.logicafunds.com/policy-in-a-world-of-pandemics