3 ms·
Empirica Capital does (or did) something similar. Their strategy is based on the belief that securities are overvalued because investors underestimate the effe
by __ 19y ago
Empirica Capital does (or did) something similar. Their strategy is based on the belief that securities are overvalued because investors underestimate the effects of rare catastrophes. So Empirica slowly bleeds away their investment capital by buying way-out-of-the-money put options and then waits for a catastrophe.
- davidw 19y agoThat's Nassim Taleb's thing, right? I get the impression from the book and various things (his wikipedia page) that it's not something he's involved with any longer. Is it still operative?
- __ 19y agoYes, Taleb and Spitznagel. I don't know if that fund is still around. I couldn't find much information on it.