SI380: Dispersion Is the Story This Year (Group Conversation Part 1)

33 snips

Dec 27, 2025

Join a lively roundtable where experts dissect a tumultuous year in trading. Explore how the Liberation Day shock created unexpected return dispersion and the critical impact of market selection. Learn why faster or slower trend systems outperformed mid-speed ones and the implications of rapid risk adjustments during volatility. Delve into the surge of non-correlated assets like crypto and structured products, and uncover how allocator behaviors shape market dynamics. The conversation is rich with insights into design choices, manager selection, and the evolving landscape of investment strategies.

Ask episode

AI Snips

Chapters

Transcript

Episode notes

INSIGHT

Fast Vol Sizing Eased Shock Impact

Faster volatility adjustment helped managers forget and recover from the three-day shock around Liberation Day.
Static or slow vol sizing left positions oversized into reversals and amplified losses.

ADVICE

Use STM To Build Complementary CTA Portfolios

Classify CTAs by style, timing (speed) and markets to build complementary portfolios.
Combine managers across these dimensions instead of relying on a single 'do-it-all' manager.

ADVICE

Adopt Dynamic Parameter Selection

Consider dynamic parameter selection rather than static parameters as regimes change.
Adapt signal speeds and sizing over time instead of fixing parameters forever.

Get the Snipd Podcast app to discover more snips from this episode

Get the app