Pennant Capital – Pension Funds Selling Vol Mean We’re In A “Spooky Time”

As part of Real Vision's interview series featuring Jim Grant, Alan Fournier the billionaire founder of hedge fund Pennant Capital, took part in the latest interview in the series.

The conversation between Fournier and Grant covered multiple topics but at the core of the chat was a discussion on pension funds and volatility, below is part of the video and we utilized a transcript of the full interview for this article.

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Since the financial crisis, as central banks have helped subdue volatility trough quantitative easing, volatility has become an asset class in itself. Or as Fournier describes at the beginning of the interview " It used to be observed based on how options are priced. Now it's actually a...