Risk Management for Bears

Published on
5 December, 2018
Topic
Volatility, Risk Management, Recession
Duration
30 minutes
Asset class
Equities

Risk Management for Bears

Featuring Ken Grant

Ken Grant, founder of General Risk Advisors, is one of the most foremost experts on volatility and hedge fund risk management. In his debut appearance on Real Vision, he discusses how the texture of market volatility has changed over the years, and provides his predictions on how the next few months are likely to unfold. He also provides some highly salient advice for those who happen to be bearish on equities right now. Filmed on November 27, 2018 in New York.

Published on
5 December, 2018
Topic
Volatility, Risk Management, Recession
Duration
30 minutes
Asset class
Equities
Rating
71
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Comments

  • SR

    Sami R.

    7 12 2018 19:34

    0       0

    Thank you Ken! Investors would benefit more by spending more time due diligence the risk manager and risk processes - as opposed to second guessing the portfolio manager(s).

  • JO

    John O.

    7 12 2018 18:26

    0       0

    This was published on Wednesday. Tuesday was a fantastic day to be short.

  • VS

    Victor S.

    6 12 2018 16:20

    1       0

    Interesting but he did not make a case on what to do?

  • VS

    Victor S.

    6 12 2018 16:20

    0       0

    Interesting but he did not make a case on what to do?

  • CM

    C M.

    6 12 2018 15:48

    4       1

    Thought it was a interesting video to watch. Cash is king in a world that is unpredictable. Hence, don't go short since a short term political change can drive the market against you. Also agree on the voice overs for the titles. Since I am working while watching, have to keep re-winding to see the question.

  • EB

    Enrico B.

    6 12 2018 14:25

    1       0

    Summary - Risk Management for Bears: Do not go short...

    I feel that topic could have been covered more adequately.

  • RM

    Richard M.

    6 12 2018 13:49

    3       0

    Very interesting and enjoyable discussion! Ken seems like a very bright guy and was pretty spot on in his observations. I have leaned to the short side the last year or two (but fortunately Fleck kept me from making any short trades as they would have been premature and loss making ventures - but the time is coming soon!). Would like to have Ken back on in 2019 as I'm sure volatility will return in a big way (as markets jig and jag in a downward progression).

  • RA

    Richard A.

    6 12 2018 11:24

    7       0

    For the one millionth time RV, stop dorking those who are listening rather than watching, and voice over the questions, please, please, please.

  • CC

    Christopher C.

    6 12 2018 04:11

    10       1

    If you did not get this, then either this wonderfully semi-autistic gentleman who has survived and thrived for decades (generations) in the markets is wrong, or you have something to learn. This interview is another great gift from RealVision we get to open before Christmas. Hope you enjoyed and learned as much as I did. Happy holidays all.

  • JM

    Jeff M.

    6 12 2018 01:33

    0       0

    I guess "buy the dip" will always work?

  • AW

    Aaron W.

    6 12 2018 01:12

    7       0

    Your graphics department needs to fix the timing on almost every video. No one reads text that fast lol.

  • HJ

    Harry J.

    5 12 2018 22:47

    0       0

    I’m relatively sure that most who practice the moves he referred to are aware of the issues surrounding his commentary.

  • MM

    Mike M.

    5 12 2018 22:44

    5       0

    Very good. Much appreciated.

  • NH

    Neil H.

    5 12 2018 21:39

    2       5

    Seemed like a waste of time.

  • MH

    Marco H.

    5 12 2018 21:13

    1       0

    Ken does raise a few questions. He makes a number of statements that should have received further inquiry. On what basis, what facts does he state the uncertainty in the market? The capital outflows (if I understood things correctly). I would have loved to have heard more details, added with data. I understand not every interview can be filled with graphs like the ones Raoul presents but a bit more data please.

  • AA

    Aymman A.

    5 12 2018 20:30

    4       9

    No useful information.

  • SW

    Scott W.

    5 12 2018 20:00

    28       1

    guys, the suggestion has been made on multiple occasions to have an audible utterance of the question in addition to a visual display, thus providing the option for aural-only consumption. This is a seemingly straightforward and reasonable request.

  • RS

    Rajesh S.

    5 12 2018 19:48

    2       3

    Too general for retail investor. Perhaps hid
    S newsletter might be better.

  • MS

    Mark S.

    5 12 2018 19:46

    3       1

    This guys a vol expert? Please, more Chris Cole and less Ken Grant when it comes to vol.

  • DS

    David S.

    5 12 2018 19:40

    4       1

    Well done. Practical knowledge should always be headed. For newer investors - A zero net position may sound like low risk, but money at risk is 100% on the long and possibly more than a 100% on the short. As Mr. Grant pointed out the long is less risky than the short as on the deadline is always getting nearer on the short. This is why we need RVTV. Thanks Mr. Grant and good luck. DLS

  • LJ

    Lucille J.

    5 12 2018 19:14

    0       3

    Really

  • MC

    Minum C.

    5 12 2018 17:06

    2       0

    I enjoyed watching this. I think it would be useful to go into more detail about the different purposes for short positions and how one would implement risk controls on short positions given the purpose. For example, if the short position is a hedge against a long position in the same sector, what triggers the PM to cover the short position? How is this different from a situation where an equity index is being held short as a hedge against a basket of long positions with a sector mismatch? How is this different from a short position that is being held with no offsetting long with the expectation of seeing a significant drop in the share price? Perhaps it will seem obvious to RV subscribers, but a discussion of the risk controls for each of these situations could be rather helpful as we head into 2019.

  • MP

    Matthew P.

    5 12 2018 16:58

    15       12

    "How to speak for 30 minutes without saying anything...btw institutionally priced"

    Includes: name dropping, industry jargon hot words, cnbc headline one-liners, double talking so that any outcome can be proven right, 90% hindsight narratives, and last but not least smug attitude semantics

  • tW

    tgwtom W.

    5 12 2018 14:49

    14       1

    I take no risk in praising this insightful presentation.