From Real Vision:
Pressures in the volatility market have been mounting for months, as it anticipates the upcoming U.S. Presidential election. But once that fateful event actually happens, what will the market structure in the derivatives space look like? Jason Buck, CIO of Mutiny Fund, welcomes Cem Karsan, founder and senior managing partner of Aegea Capital Management, and Kris Sidial, co-CIO of The Ambrus Group, to explore this very question. Karsan reveals his insights on how the outcome of the election will impact variables such as kurtosis and vanna flows, and he describes several ways to play these outcomes via option straddles as well as the dispersion between implied and realized volatility. Sidial shares how chaos theory and fractals shape his market framework and discloses several prudent trades such as calendar spreads on the VIX and capturing the spread between index volatility and the volatility of single name equities.