00:48:25 · Joe Weisenthal, Tracy Alloway
[00:48:25] S1: It's interesting. U.S. stocks have just done so well for so long. I mean, that is the big story. And I think about this all the time in many cases. flavors of this conversation where we talk about hedge funds and options and trading and stuff like that. It's like, man, you got paid in retrospect, sitting here in 2026 for basically the last 45 years, you got paid a lot of money to just invest in the market and do nothing, right? To buy the index or whatever. And with very rare exceptions, that's all you had to do to make a ton of money is buy the index and go swimming. But it's interesting to think about how, for example, in other countries, Problems are a little trickier. It's like, how does someone in Japan get yield during all those Zerp years and stuff? So you have to get a little bit exotic and stuff like that. Now I can understand why, you know, people sitting on some huge gains, they don't want to miss out on future gains, but maybe they want to like take off some risk. Now there's yield again in the United States. over the last few years. That could be interesting and stuff like that. So I understand a little bit more about like inherently why these products have gotten more lucrative or Desirable for high net worth American investors in recent years. Sure. [00:49:33] S3: But I guess the issue is when the market becomes so big that it actually ends up impacting everything and you get these sort of weird like negative gamma instances where people have to sell into a down market and things like that.
00:49:33 · Tracy Alloway, Tracy Alloway, Joe Weisenthal, Alex Micalizzi
[00:49:33] S3: But I guess the issue is when the market becomes so big that it actually ends up impacting everything and you get these sort of weird like negative gamma instances where people have to sell into a down market and things like that. [00:49:46] S0: And it just sort of. starts wagging the tail. [00:49:49] S1: Totally. And look, the market has gotten a little more turbulent. Like, again, I'd like to point out that it's not like we've had some huge crash or something. [00:49:56] S0: No, we haven't. [00:49:56] S1: But it is, it has not been straight up. People are starting to look for the weak players and the links and so forth. People getting a little bit of anxious. And so it's sort of important to get a better grasp on like, what are some of the ramifications if we were to see longer sideways market or God forbid, something resembling a bear market. [00:50:17] S0: Learn your Greeks. [00:50:18] S1: Learn your Greeks. [00:50:18] S0: Shall we leave it there? [00:50:19] S1: Let's leave it there. [00:50:20] S2: All right. [00:50:20] S3: This has been another episode of the Odd Lots Podcast. I'm Tracy Alloway. You can follow me at Tracy Alloway. [00:50:25] S1: And I'm Joe Weisenthal. You can follow me at The Stalwart. Follow our producers, Carmen Rodriguez at Carmen Arman, Dashiell Bennett at Dashbot, Kale Brooks at Kale Brooks, and Kevin Lozano at Kevin Lloyd Lozano. And you can chat about all of these topics 24-7 in our Discord, discord.gg slash oddlots. And for more Odd Laws content, check out our daily newsletter, which you can find at Bloomberg.com slash Odd Laws.
00:50:25 · Joe Weisenthal, Tracy Alloway, Tracy Alloway, Alex Micalizzi
[00:50:25] S1: And I'm Joe Weisenthal. You can follow me at The Stalwart. Follow our producers, Carmen Rodriguez at Carmen Arman, Dashiell Bennett at Dashbot, Kale Brooks at Kale Brooks, and Kevin Lozano at Kevin Lloyd Lozano. And you can chat about all of these topics 24-7 in our Discord, discord.gg slash oddlots. And for more Odd Laws content, check out our daily newsletter, which you can find at Bloomberg.com slash Odd Laws. [00:50:50] S3: And if you enjoyed this conversation, if you like it when we talk about Greek letters, then please leave us a positive review on. [00:50:56] S0: Your favorite podcast platform. [00:50:57] S3: If you're watching on video, then please leave a comment or like, or better yet, subscribe. [00:51:03] S1: And remember, if you're a Bloomberg subscriber, you can listen to all of our episodes absolutely ad-free. All you need to do is find the Bloomberg channel on Apple Podcasts and follow the instructions there. [00:51:13] S0: Thanks for joining. [00:51:15] S2: Thank you.