Derivatives Strategies for Market Resilience
Market chaos demands non-linear tools. Traditional diversification fails when correlations converge during systemic crises. Derivatives offer convexity where bonds and equities falter.
Protective puts and collars act as portfolio insurance, while VIX futures weaponize volatility. Credit default swaps target concentration risk, and index futures enable rapid beta adjustments. Defined outcome strategies customize downside protection, and interest rate collars hedge monetary policy shocks. FX derivatives neutralize currency risk in global turmoil.