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Re:WeWTF by dannyw on Saturday August 17, 2019 @08:03PM (#20727254)
Hedging via options is guaranteed to cost more than the benefit you’d receive, over the long run. This is due to the volatility risk premium (the insurers against risk must be paid, and will price it to come out ahead).

See https://www.aqr.com/Insights/Research/White-Papers/Pathetic-...

But no, you cannot hedge away risks of a recession - for cheaper than what a recession would cause.

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