| The Black Swan ETF already does it It's 90% of treasure bonds and some small percent of options On a bulish market, you loose some performance (insurance costs) for renewing the options On a bearish market (crash) your bonds loose market value, but the options will go up N amount of times. which will give you overall positive performance. If the market stagnates, you'll loose money as the options continue to be renewed while the bonds are stable. And you don't need to allocate all your portfolio to this ETF, can simply combine it with everything else you have.
---- Anyway I've done this before, I believed the market could become wild I bought VIX options and got lucky with a 20x score Obviously this is not that easy or accessible to retail investors (and it's gonna cost at least 100$ monthly) But if one's to believe we're near the peak, and the crash could be coming any time soon (next couple of months), buying this kind of insurance would make sense (I think about it as Insurance as a Service, because I just want a simple monthly subscription for the work behind the scenes) |