TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets Book PDF, ePub eBook

Join our eBook service for unlimited books & audiobooks. Get a free 7 day subscription! ↓↓↓↓↓


Book Descriptions:

"TAIL RISKS" originate from the failure of mean reversion and the idealized bell curve of asset returns, which assumes that highly probable outcomes occur near the center of the curve and that unlikely occurrences, good and bad, happen rarely, if at all, at either "tail" of the curve. Ever since the global financial crisis, protecting investments against these severe tail events has become a priority for investors and money managers, but it is something Vineer Bhansali and his team at PIMCO have been doing for over a decade. In one of the first comprehensive and rigorous books ever written on tail risk hedging, he lays out a systematic approach to protecting portfolios from, and potentially benefiting from, rare yet severe market outcomes.

Tail Risk Hedging is built on the author's practical experience applying macroeconomic forecasting and quantitative modeling techniques across asset markets. Using empirical data and charts, he explains the consequences of diversification failure in tail events and how to manage portfolios when this happens. He provides an easy-to-use, yet rigorous framework for protecting investment portfolios against tail risk and using tail hedging to play offense. Tail Risk Hedging explores how to:

• Generate profits from volatility and illiquidity during tail-risk events in equity and credit markets
• Buy attractively priced tail hedges that add value to a portfolio and quantify basis risk
• Interpret the psychology of investors in option pricing and portfolio construction
• Customize explicit hedges for retirement investments
• Hedge risk factors such as duration risk and inflation risk

Managing tail risk is today's most significant development in risk management, and this thorough guide helps you access every aspect of it. With the time-tested and mathematically rigorous strategies described here, including pieces of computer code, you get access to insights to help mitigate portfolio losses in significant downturns, create explosive liquidity while unhedged participants are forced to sell, and create more aggressive yet tail-risk-focused portfolios. The book also gives you a unique, higher level view of how tail risk is related to investing in alternatives, and of derivatives such as zerocost collars and variance swaps. Volatility and tail risks are here to stay, and so should your clients' wealth when you use Tail Risk Hedging for managing portfolios.

PRAISE FOR TAIL RISK HEDGING:

"Managing, mitigating, and even exploiting the risk of bad times are the most important concerns in investments. Bhansali puts tail risk hedging and tail risk management under a microscope--pricing, implementation, and showing how we can fine-tune our risk exposures, which are all crucial ways in how we can better weather our bad times." -- ANDREW ANG, Ann F. Kaplan Professor of Business at Columbia University

"This book is critical and accessible reading for fiduciaries, financial consultants and investors interested in both theoretical foundations and practical considerations for how to frame hedging downside risk in portfolios. It is a tremendous resource for anyone involved in asset allocation today." -- CHRISTOPHER C. GECZY, Ph.D., Academic Director, Wharton Wealth Management Initiative and Adj. Associate Professor of Finance, The Wharton School

"Bhansali's book demonstrates how tail risk hedging can work, be concretely implemented, and lead to higher returns so that it is possible to have your cake and eat it too! A must read for the savvy investor." -- DIDIER SORNETTE, Professor on the Chair of Entrepreneurial Risks, ETH Zurich

TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets by Vineer Bhansali

From reader reviews:

Jeremy Smith:

TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets can be one of your beginning books that are good idea. We all recommend that straight away because this book has good vocabulary that may increase your knowledge in terminology, easy to understand, bit entertaining but still delivering the information. The copy writer giving his/her effort to get every word into satisfaction arrangement in writing TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets nevertheless doesn't forget the main point, giving the reader the hottest in addition to based confirm resource info that maybe you can be certainly one of it. This great information can easily drawn you into fresh stage of crucial contemplating.

Tina Alley:

Your reading sixth sense will not betray anyone, why because this TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets e-book written by well-known writer we are excited for well how to make book which can be understand by anyone who also read the book. Written inside good manner for you, leaking every ideas and creating skill only for eliminate your own personal hunger then you still question TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets as good book but not only by the cover but also with the content. This is one reserve that can break don't evaluate book by its handle, so do you still needing one more sixth sense to pick this specific!? Oh come on your reading through sixth sense already told you so why you have to listening to one more sixth sense.

David Trudeau:

Beside that TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets in your phone, it may give you a way to get nearer to the new knowledge or details. The information and the knowledge you can got here is fresh from your oven so don't end up being worry if you feel like an older people live in narrow community. It is good thing to have TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets because this book offers for you readable information. Do you often have book but you do not get what it's facts concerning. Oh come on, that wil happen if you have this inside your hand. The Enjoyable set up here cannot be questionable, similar to treasuring beautiful island. Techniques you still want to miss this? Find this book and read it from today!

Judith Bowman:

Don't be worry for anyone who is afraid that this book can filled the space in your house, you could have it in e-book method, more simple and reachable. This particular TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets can give you a lot of close friends because by you checking out this one book you have point that they don't and make anyone more like an interesting person. This specific book can be one of one step for you to get success. This publication offer you information that perhaps your friend doesn't realize, by knowing more than other make you to be great folks. So , why hesitate? Let me have TAIL RISK HEDGING: Creating Robust Portfolios for Volatile Markets.