Falling volatility makes buying options compelling, says Deutsche Bank strategist

deflate
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

To continue reading...

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 indvidual account here: