Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Income Investing -- Ignore unavailable to you. Want to Upgrade?

To: MCsweet who wrote (51734)	11/18/2024 6:58:42 PM
From: Elroy	Read Replies (1) \| Respond to of 52116

Short volatility funds mint money until a market crash, and then they get wiped out. Understood. However, there was the third largest volatility spike of the past 20 years in August of this year, and ZIVB declined, but it didn't get wiped out, and it (amazingly) didn't cut the dividend. Perhaps part of the reason is that it is involved in out months 4 through 7, and volatility in those months "spike" less than the one month. I don't really know. But my simple view is if it survived one of the top 3 vol spikes of the past 20 years (the other two were Covid and the 2008 financial crisis) it's probably going to survive for a while. But I get your point.