Real money investors cash in as dispersion nears record levels
Implied spreads were elevated to start 2026. Realised levels have been “almost unprecedented”
Investors that dived into equity dispersion despite sky-high entry costs at the start of the year are seeing blowout returns, cementing its position as the relative value strategy of choice in an increasingly volatile market.
The strategy is effectively a bet on the volatility of single stocks outpacing that of indexes.
The spread between the at-the-money implied volatility of the S&P 500 and its
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