RV Blog Keohane: Using Derivatives to Profitably Manage Risk for a Pension Fund

Keohane: Using Derivatives to Profitably Manage Risk for a Pension Fund

Keohane describes how he uses derivatives to profitably manage risk. He discusses how he in early 2000 he recognized that the then-highflying stock Nortel Networks Corp posed a threat to HOOPP’s portfolio, and how he chose to effectively short Nortel via a “Costless Collar” strategy, a decision that netted HOOPP over $850 million.

RELATED CATEGORIES: Global Economy, Market Analysis

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