Macro Hive Conversations With Bilal Hafeez cover image

Diego Parrilla On High Inflation, Anti-Bubbles and the Problem with Stop Losses

Macro Hive Conversations With Bilal Hafeez

00:00

The Black and Shaw School of Thought

The black andshaw school of thought is effectively atradin volatility. In case, iam going to by a puto n I'm going to delta hedge it, so i have no directional risk. The other way to think about options is different - you run a monte carlo simulation. You run a hundred thousand paths, and the premium represents the expected pay out. It's an implied versus realized fall. And it's a mean reverting game, and it's a great defender.

Transcript
Play full episode

The AI-powered Podcast Player

Save insights by tapping your headphones, chat with episodes, discover the best highlights - and more!
App store bannerPlay store banner
Get the app