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FT recently reported that hedge fund managers are buying puts on:

stock indices and also on currencies sensitive to risk appetite such as the Australian dollar and the Korean won.

Generally, what kinds of puts might hedge against a potential second market plunge?

I'm thinking to avoid S&P 500 because it's heavily influenced by tech giants who are doing well regardless of the pandemic.

I would be grateful for anyone's thoughts!

Chris W. Rea
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Will
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1 Answers1

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Variations of this question have been asked before. In these links, I've explained many of the ways to hedge equity positions:

How could I calculate the probability of getting wiped out?

Profiting from an economic bubble collapse

How should a portfolio be managed in preparation for a financial crisis?

Bob Baerker
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