Hari Krishnan is joined today by Cem Karsan, to discuss feedback loops across different markets, the decision to manage outside money, how institutions make trading decisions, the global macro effects from COVID-19, the importance of dealer flows in the markets, the feedback loop between options and their underlying assets, and approaches to delta hedging.
----
In this episode, we discuss:
How market behaviour is often intertwined
Why Cem chose to manage outside capital
The thinking behind institutional market moves
How the global pandemic affected markets
Dealer flows
Feedback loops
Delta hedging

Follow Niels on https://twitter.com/toptraderslive (Twitter), https://www.linkedin.com/in/nielskaastruplarsen (LinkedIn), https://www.youtube.com/user/toptraderslive (YouTube) or via the https://www.toptradersunplugged.com/ (TTU website).
IT’s TRUE ? – most CIO’s read 50+ books each year – get your FREE copy of the Ultimate Guide to the Best Investment Books ever written https://www.toptradersunplugged.com/Ultimate (here).
And you can get a free copy of my latest book “The Many Flavors of Trend Following” https://www.toptradersunplugged.com/flavor (here).
Learn more about the Trend Barometer https://www.toptradersunplugged.com/resources/market-trends/ (here).
Send your questions to [email protected]
And please share this episode with a like-minded friend and leave an honest Rating & Review on https://www.toptradersunplugged.com/reviewttu (iTunes) or https://open.spotify.com/show/2OnOvLbIV3AttbFLxuoaBW (Spotify) so more people can discover the podcast.
Follow Hari on https://twitter.com/HariPKrishnan2 (Twitter).
Follow Cem on https://twitter.com/jam_croissant (Twitter).
----
Episode TimeStamps:
00:00 - Intro
02:17 - Cem’s background, and current work
19:18 - The decision to manage outside money
24:06 - The trades that institutions like to make
30:22 - Feedback loops within markets
34:17 - The dynamic between futures and options
51:15 - Using Econophysics to find hedging methods
53:40 - Building various volatility models and research using toy models
57:05 - Approaches to Delta hedging
01:00:11 -Changes to qualitative features of overnight indices
01:03:12 -Investment products on the VIX and effects on the S&P 500
01:10:09 -The feedback loop between inflation, deflation and central bank rate policies
01:20:01 -Whether or not there is an asymmetry between deflation and inflation risk
Copyright © 2022 – CMC AG – All Rights Reserved
----
PLUS: Whenever you're ready... here are 3 ways I can help you in your investment Journey:
1. eBooks that cover key topics that you need to know about
In my eBooks, I put together some key discoveries and things I have learnt during the more than 3 decades I have worked in the Trend Following industry, which I hope you will find useful. https://www.toptradersunplugged.com/resources/ebooks/ (Click Here)
2. Daily Trend Barometer and Market Score
One of the things I’m really proud of, is the fact that I have managed to published the Trend Barometer and Market Score each day for more than a decade...as these tools are really good at describing the environment for trend following managers as well as giving insights into the general positioning of a trend following strategy! https://www.toptradersunplugged.com/resources/market-trends/ (Click Here)
3. Other Resources that can help you
And if you are hungry for more useful resources from the trend following world...check out some precious resources that I have found over the years to be really valuable. https://www.toptradersunplugged.com/resources/ (Click Here)
https://www.toptradersunplugged.com/legal/privacy-policy/ (Privacy Policy)
https://www.toptradersunplugged.com/disclaimer/ (Disclaimer)