Indeed, exceptional explanation on the 1/3 back ratio out spread and how you need to manage it constantly. Or how you just buy tail risk when it’s cheap, sit on it for a while and maybe sell it to other players when things get dicy, or how you can finance that tail risk with levered nasdaq via futures in a feed forward mechanism just like a positive feedback loop (very scary in analog electronics)
Excellent interview, Dave is great at articulating complex concepts in simple language. Only issue was the sound quality. Dave's mic keeps fading.
Indeed, exceptional explanation on the 1/3 back ratio out spread and how you need to manage it constantly. Or how you just buy tail risk when it’s cheap, sit on it for a while and maybe sell it to other players when things get dicy, or how you can finance that tail risk with levered nasdaq via futures in a feed forward mechanism just like a positive feedback loop (very scary in analog electronics)