12min chapter

Monetary Matters with Jack Farley cover image

Volatility Markets Are Complacent | Kris Sidial on Tariff Risk to Stocks, Dispersion Trade, and Margin Risk

Monetary Matters with Jack Farley

CHAPTER

Navigating Tail Risk and Volatility Trading

This chapter explores the intricacies of managing a carry neutral tail risk strategy while balancing hedges and income generation. It emphasizes the importance of prop trading and identifying uncorrelated return strategies, particularly in the volatility market. The dialogue focuses on dispersion trading, index rebalancing, and the nuanced relationship between trading options and market volatility.

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