Welcome to Animal Spirits, a show about markets, life, and investing.

Join Michael Batnick and Ben Carlson as they talk about what they're reading, writing, and watching.

Michael Batnick and Ben Carlson work for Ritt Holt's wealth management.

All opinions expressed by Michael and Ben or any podcast guests are solely their own opinions

and do not reflect the opinion of Ritt Holt's wealth management.

This podcast is for informational purposes only and should not be relied upon for investment decisions.

Clients of Ritt Holt's wealth management may maintain positions in the securities discussed in this

podcast. On today's talk to your book, Ben and I sat down with Paul Kim, co-founder and CEO of

Simplify Asset Management to talk about one of their new products.

Simplify U.S. Equity Plus Convexity E.T.

SPIC is the ticker.

It's interesting because we're seeing a pretty big influx of new EDF products that are using options and leverage and some more

Sophisticated for lack of a better term strategies that you didn't have access to in the past.

And we talked to Paul about this,

and he said that there was a reason for that,

because in the past, this stuff wasn't allowed.

But this one peaked my interest.

So we'll get into the specifics of it on the show, but it basically invests the majority of the money in an S&P 500 ETF, 98% of the fund.

And then the other 2%, 1% of it is in a option that hedges your tail risk on one end for losses

and the other one is an option that hedges your tailors for huge gains.

So you're basically investing in the stock market, but with some options to take advantage of enormous

volatility should it happen.

...