Volatility Views Volatility Views 628: A Year's Worth Of Madness In One Week
9 snips
Apr 11, 2025 Mike Dever, Founder and CEO of Brandywine Asset Management, joins the conversation on navigating today's turbulent markets. They delve into the dramatic market volatility reminiscent of 2008, examining strategies to capitalize on wild VIX swings. Unique trade insights include a striking 50K VIX butterfly and contrasting predictions for VIX's future. The discussion highlights the crucial role of risk management and diversification along with engaging polls about trader behavior, painting a vivid picture of the current financial landscape.
AI Snips
Chapters
Transcript
Episode notes
Historic Rally Context
- The market experienced its third-largest rally since 2008, a 9.5% surge reminiscent of October 2008.
- However, 2008's rally preceded further market decline, suggesting this rally may not be entirely positive.
Unprecedented Market Conditions
- This market volatility is unprecedented for those trading today, as the last global trade war predates the modern options market.
- This situation makes navigating current conditions particularly challenging for all participants.
Unexpected Market Mover
- Mark Sebastian was surprised by the market's reaction to a Japanese hedge fund's actions.
- He highlights the bond market's impact, particularly the Fed basis trade and TLT volatility.