The Eye Crisis: A Strategy for Hedging Large Market Moves

The LDI crisis was primarily a funding gap between a collateralized leg and the un-collateralized leg. So I would say with hindsight, probably a wise, the decision would have been to focus on hedging larger market moves such as the one that created the crisis. Would this sort of approach have, you know, completely obliterated the LDI crisis? I don't know. But it certainly offers a new set of tools and some interesting opportunities in that direction.