Hedges Across Assets Are Too Expensive, Morgan Stanley Says

WTF? Isn't that article noting nothing really more than buying volatility protection at peak volatility is expensive? Duh. Now is the time to be SELLING volatility products.

Although, I do note that the VIX was very stubborn to going up while the market was cratering this time around. Its like it didn't take the possibility of a 50% market drop seriously even when we were having 3%, 4%, close to 5% down days.
 
SoyUnPerdedor said:
WTF? Isn't that article noting nothing really more than buying volatility protection at peak volatility is expensive? Duh. Now is the time to be SELLING volatility products.

Although, I do note that the VIX was very stubborn to going up while the market was cratering this time around. Its like it didn't take the possibility of a 50% market drop seriously even when we were having 3%, 4%, close to 5% down days.
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It’s indeed a secret in plain sight, vix mean reverting. Although the mean itself has risen in this environment.
Let’s sell the house and blindly load up on (-1) vxx! (pun intended)
But I think one can craft a system starting with selling naked calls on vix, if you are comfortable with occasional spikes.
 
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