Falling volatility makes buying options compelling, says Deutsche Bank strategist

Low volatility means purchasing options is now attractive, even for higher-beta sectors, according to a Deutsche Bank strategist

volatilities reach for the floor

Volatility has fallen dramatically from its peak last year, according to Deutsche Bank’s 2012 global equity volatilities outlook.

“Volatility has started to rise slightly, suggesting it has reached something of a floor,” says Simon Carter, lead strategist at Deutsche Bank in London. “We appear to have moved rapidly from a high-volatility bear market to a low-volatility bull market. Investors should use lower volatility levels to buy protection on selected sectors.”

According to the report, three

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options


Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here