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Re:Understanding Jane Street by adchari on Tuesday August 02, 2022 @06:32AM (#32317032)
They don’t really have to be losing in the long term, being short deep out-of-the-money puts nets you an option premium if the underlying never crashes, and once you delta-hedge that position, you can remove the tail risk from your portfolio
Re:Understanding Jane Street by howling on Wednesday August 03, 2022 @06:27PM (#32337283)
Yes it's not necessary for them to be losing in the long term for Jane Street to be profitable, but I suspect they are.