How kurtosis explains frequent outliers

In this Skinny on Options: Abstract Applications, Dr. Jim, Nick, and Tony discuss the concept of negatively skewed markets, emphasizing that significant price movements tend to occur more frequently on the downside. They highlight the importance of position sizing and managing tail risk while engaging in active trading. The conversation also covers the relationship between kurtosis and skew, illustrating how these concepts impact trading strategies. With recent market volatility in mind, they offer insights on adapting to the inherent risks of trading.