Why the Short Volatility Trade Is Back and Bigger Than Ever
Odd Lots
Bloomberg
4.5 • 2K Ratings
🗓️ 29 January 2024
⏱️ 49 minutes
🧾️ Download transcript
Summary
There are plenty of one-off risks at the moment, but it seems like betting on pretty much nothing happening is more popular than ever. Investors are increasingly reaching for a wide variety of derivatives to bet against volatility. Those derivatives include one- and zero-day options which expire in 24 hours or less, and have become a hot button topic on Wall Street. So what's the impact of this explosion in options trading? Why is it happening at a time when the possibility of major disruptions seems more likely than ever (even if realized volatility remains low)? And what impact could it have on the wider market? In this episode, we speak with Kris Sidial, Co-CIO of Ambrus Group, about the return of the short vol trade.
See omnystudio.com/listener for privacy information.
Transcript
Click on a timestamp to play from that location
| 0:00.0 | At Public.com, you can earn 5.1% APY with a high-yield cash account. |
| 0:05.6 | No strings attached. Public.com, 5.1% APY as of December 2023 and subject to change, |
| 0:12.2 | disclosures and podcast description, U.S. members only. |
| 0:14.8 | O'S. County, Oklahoma is getting a lot of attention right now. |
| 0:19.3 | It's the setting of Martin Scorsese's latest film, Killers of the Flower Moon. |
| 0:25.0 | The movie is based on a book about the 1920s Osage murders, when white men poured into |
| 0:30.4 | Osage County and killed Osage people for their oil wealth. |
| 0:35.1 | I'm Rachel Adams Heard, the host of In Trust, a podcast from Bloomberg and I Heart |
| 0:40.3 | Media. |
| 0:41.9 | For over a year, I was reporting a different story about other ways |
| 0:46.1 | white people got Osage land and wealth and how a prominent ranching family in |
| 0:51.3 | Osage County became one of the biggest landowners here. |
| 0:56.1 | Their ranching empire was built on land that at the turn of the century was all owned by |
| 1:00.6 | the Osage Nation. So how'd they get it? Listen to the award-winning |
| 1:06.2 | podcast, Entrust, on the I-HeartRadio app, Apple Podcasts, or wherever you get |
| 1:12.2 | your podcast. Hello and I'm Joe Wiesenthall Joe do you know what's |
| 1:25.0 | Hello and welcome to another episode of the Odd Lots podcast I'm Tracy Allaway and I'm Joe |
| 1:30.6 | Wiesenthal. Joe do you know what's coming up? |
| 1:35.6 | The Odd Lots Pub Quiz. |
| 1:37.1 | That's true. |
| 1:38.9 | Also Valentine's Day, I guess. |
| 1:40.9 | That's a little bit later on. |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from Bloomberg, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of Bloomberg and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2026.