May 14, 2012
53: An Insider's View of Risk
Volatility Review: There is an extra note of
tension in the market with S&P vol waiting for the other shoe
to drop. NASDAQ vol is slightly higher. JPMorgan news does little
to rattle VIX.
Volatility Viewpoint: Today's guest, Todd Petzel,
the Chief Investment Officer at Offit Capital, sits down with Mark
and Don, and discusses myriad aspects of volatility and risk
management. Topics include:
. The instruments he uses to manage portfolio risk
. Structured VIX products
. Go-to products
. Financial investors and their lacking use of options
. Pending regulations concerning position limits
Crystal Ball: Sebastian sees the market bouncing
around in the short term. A safe trade may be shorting U.S.
treasuries. There is still a continued contraction between implied
risk premium and realized vol levels. Vol may go higher, but
without anything dramatic moving it.