Asymmetric Investment Returns
Asymmetric Investment Returns is a blog authored by Mike Shell since 2006, covering topics about asymmetric investing and trading for asymmetric risk/reward in pursuit of asymmetry.
This Measure of the Market's Expectations for an Extreme Event, Tail Event, or Black Swan, Indicates Complacent Investors
TailDex® is a measure of the market’s expectations for an extreme event, often called a “tail event” or a “black swan,” which is a drop of at least three standard deviations.
Why Did VXX and VIXY Diverge in 2022?
VXX and VIXY usually move in tandem due to their similar tracking of VIX futures, but in 2022, Barclays' suspension of new VXX issuance created an unprecedented divergence. The March 2022 event highlighted the risks of trading ETNs versus ETFs—while VIXY functioned properly throughout the year, VXX became detached from reality, trading at a significant premium before finally reverting.
Jesse Livermore Learned the Hard Way to be a Trend Follower
Be a trend follower; always sell what shows you a loss and keep what shows you a profit.
The U.S. Dollar Trend is Changing Direction
When short-term interest rates fall, we can expect the dollar may fall.
Why investment risk management? Financial crises occur about once a decade, with each one getting larger than the last.
Financial crises occur about once a decade, with each one getting larger than the last.