Rinse and Repeat

Published on
October 2nd, 2020
Duration
55 minutes


Rinse and Repeat

Live ·
Featuring Jason Buck and Nancy Davis

Published on: October 2nd, 2020 • Duration: 55 minutes

The saying "this time it's different" is perhaps the most dangerous on Wall Street. Whether this shibboleth applies to the current markets is the question that Jason Buck, CIO of the Mutiny Fund, and Nancy Davis, CIO of Quadratic Capital Management, explore in this latest edition of Real Vision Live. Buck and Davis analyze historical volatility regimes and explore the value of cross-asset option portfolio construction. Davis discusses her interest rate volatility ETF, IVOL, and she and Buck explore if these ultra-low rates will ever rise again, or if they’re here forever. Filmed on September 30, 2020.

Comments

Transcript

  • TM
    The-First-James M.
    4 October 2020 @ 19:29
    I wish IVOL was available to UK retail investors. MIFID 2 has fucked up a lot of things for us... :(
    • RK
      Roger K.
      18 October 2020 @ 16:27
      Shi**ty EU rules
  • HB
    Harijs B.
    6 October 2020 @ 12:08
    How do you buy those options? I see your holdings list on Bloomberg, which lists smth like this "USD CMS 2-10 11/01/21 43," however there are no such instruments on Bloomberg. Are they some kind of custom made options for them??
    • AW
      Aron W.
      8 October 2020 @ 17:10
      They are trading Over The Counter products, not listed products.
  • JG
    James G.
    6 October 2020 @ 22:24
    Why do you think any inflation is great? It's nothing but a hidden tax.
  • TH
    Tal H.
    5 October 2020 @ 18:06
    This Windows chime...
  • MT
    Michael T.
    3 October 2020 @ 04:29
    why did ivol price drop in March ?
    • PG
      Pat G.
      4 October 2020 @ 19:33
      It holds mostly TIP. TIPS got crushed due to spike in the liquidity premium of TIPS when liquidity collapsed
  • DL
    D L.
    4 October 2020 @ 15:28
    As a canadian, and novice investor, i am curious how to think about IVOL and TIPS since i also have currency risk CADUSD. If interest rate volatility stays low, the return is simply the coupon payment (but if usd depreciates over that time greater than coupon rate, its a loss overall no?). But if rate volaitility increases 2/10, IVOLs return increases, i still have currency risk of USD deppreciating but more breathing room to make a profit and hedge kinda thing. Any thoughts?
  • GA
    Gerald A.
    4 October 2020 @ 02:03
    Excellent.
  • JJ
    Joseph J.
    3 October 2020 @ 14:24
    According to her website, her ETF charges 1% management fee and 88% of assets are invested in a Schwab TIPS ETF and 7.5% in cash. LOL.
    • JC
      Justin C.
      4 October 2020 @ 01:07
      TIPS plus options to profit from fixed income vol. Now apologize for being an ass.
  • DS
    David S.
    3 October 2020 @ 20:33
    Happy Birthday to both of you. After reviewing IVOL vs Schwab Tips for several years, 100% tips was the better bet. I assume the option hedging did not kicked in as interest vol is low. It did kick in a little in March 2020, it looks like the high percentage of tips in IVOL attenuated the benefit of the option play. Is it possible another ETF with lower TIPS percent to total might give better performance during volatile times? Just an idea from the top of the bleachers without a program. DLS
  • BK
    Brian K.
    3 October 2020 @ 14:39
    Very informative and helpful.
  • sp
    spencer p.
    3 October 2020 @ 12:43
    awesome explanations. very clear
  • JW
    Jay W.
    3 October 2020 @ 06:45
    Awesome
  • DB
    Daniel B.
    3 October 2020 @ 05:01
    I recently became an IVOL “nibbler”. This interview helped me get a better understanding of the product so that I can better manage it in my portfolio. Very timely. Thanks!
  • KM
    Kelly M.
    2 October 2020 @ 18:16
    Neither of them have apparently ever had a proper homemade pot pie.
    • JB
      Jason B. | Contributor
      3 October 2020 @ 00:57
      Well said Kelly!
  • JW
    J W.
    2 October 2020 @ 16:41
    Excellent interview. I am an IVOL customer. Have to admit that at first I did not get it. Did a lot of reading before I jumped in. To me this was as much an investment in the manager, Nancy, as it was in the benefits of the instrument.
    • JW
      J W.
      2 October 2020 @ 21:18
      You cannot edit these posts, so I wanted to add that what I appreciate is the original thinking that is on display here. I am certainly looking forward to other products coming out in the future. Should be interesting.
  • ER
    Eric R.
    2 October 2020 @ 15:43
    Wonderful to experience the combination of insight, intelligence and humility. Rare cocktail. Well done.
  • Nv
    Nick v.
    2 October 2020 @ 13:36
    Really enjoyed the interview. Great job
  • PG
    Philippe G.
    2 October 2020 @ 13:09
    Fantastic - I picked up some IVOL around after Nancy's first RV appearance. Appreciate the simple and detailed explanations of what can be a complex topic!