"A more volatile market is also a riskier one" : groundbreaking takeway, well done wsj
Please stay out of UVXY if you are not an experienced investor. I learned the hard way recently.
Investing in stocks is planting a tree for your future; with patience, it will bear fruit."
I love watching people finish their ramble with a grin, lookin proud they got it right! Hard to take seriously though unfortunately.
The stock market is more volatile than ever. recently went "all in" and bought up $150k worth of ETF's & individual stocks, my aim is to take advantage of this S&P 500 downtrend, what could be accurate predictions moving forward?
Volatility trading hasn’t attracted “investors”... it’s attracted gamblers.
Volatility isn't an investment
FYI, UVXY is not designed for long term holding (i.e. for hedging purposes) as the value will depreciate due to contango
I'm just here so I can understand why the next recession is gonna happen.
Everyone wants to make a quick buck!
Good piece but not the correct explaination, basically VIX is not directly investable but there are ETFs linked to VIX index which has a convexity in returns that means downside is limited if you buy it in a stable market when VIX is between 14 to 20 but upside is unlimited with high probability of large gains which creates asymmetrical returns. These investments are mean reverting that means you cant buy and hold in the long run, you sell it as soon as you reach your return target. The huge risk comes in when you have direct exposure through short positions which can create huge losses. Hope this helps
Pure gamble.
Greed can be one's undoing. That's the takeaway! Good video!
That title is such a spurious assertion. We are coming out of a ten-year stable bull run. Volatility and risk moves in cycles. You can't infer causal relations from unrepresentative data.
Volatility trading basically means Take the money and RUN 🏃♂️
As the world is, this fluidity and variability is also a process and repetition. Some are opportunities, others are crises.
remember folks, the derivatives market is a zero-sum game, someone HAS to lose.
Thanks to these people to trade volatility and provide liquidity for those who need it. For me, I get excited about buying brokered CDs when they panicked sold in March/April. Sit enjoying government-guaranteed 1.3% for next 12 to 36 months until this crazy ends.
remember kids, there are two rules in finance: 1. stocks only go up 2. short the VIX
@MADMAX7330