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    Long term hedge for flash crash

    I found a backtested strategy with buying 30% out of the money puts with 4 months to expiration, that are rolled over after 2 months, having an annualised cost of 0.78%, which is pretty low. I would rather have SPX options instead since they have wider opening times for trading than options on...
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    Long term hedge for flash crash

    Yeah it would be more for a black swan kind of event, where it is uncertain if it will go back up again.
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    Long term hedge for flash crash

    I would like to hedge against "market malfunctioning" risk as they call it, or if i understand it correctly, if there will be too many sellers for the market liquidity to take in, for a longer time, could drive prices really low. Like a >6 sigma event. And I would like to hedge a family...
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    Long term hedge for flash crash

    What would be a simple and inexpensive long term hedge for a flash crash? I could think of long dated far out of the money with GTC sell order to close, PUT options on indexes, CALL on VIX, UVIX, UVXY or PUT options on stocks.
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