Persistent low levels for the CBOE VIX index have raised eyebrows among investors and analysts alike. The Bank for International Settlements (BIS), headquartered in Basel, Switzerland, has shed light on a potential reason behind this phenomenon in its recent quarterly report. Shift Towards Yield-Enhanced ETFs The BIS suggests that the current low VIX levels may be attributed to … [Read more...] about Understanding Low VIX Levels
Options Trading
Unleashing the Potential of Income Investing: The Covered Call Strategy
When it comes to income investing, conventional wisdom dictates that we need to stay away from exciting stocks like Tesla and Nvidia in favor of more stable options. However, there is a strategy that enables us to have the best of both worlds - enter the "covered call" options play. A covered call is a fairly straightforward options trade. To put it simply, a call option grants … [Read more...] about Unleashing the Potential of Income Investing: The Covered Call Strategy
Harnessing the Power of Volatility: Unlocking the Potential in Your Portfolio
It’s quite likely that your portfolio contains an asset that you aren’t managing to the fullest. That asset is volatility. A Shift in Perspective: Seeing Volatility as an Asset Class Until recently, I didn't believe that volatility was indeed an asset class--even when I was steeped in it during my decades as an options market maker. To be sure, volatility was a key input to … [Read more...] about Harnessing the Power of Volatility: Unlocking the Potential in Your Portfolio
