Seix Perspective - 2018 Volatility Regime Change
Short Vol, Long Spread "Carry" The Year 2017
James F. Keegan, Seix Chief Investment Officer and Chairman, Senior Portfolio Manager and
Perry Triosi, Seix Managing Director, Senior Portfolio Manager
The dominant themes in the second half of the year continued to be the lack of volatility (stock and bond volatility plumbed to record lows) and a loosening of financial conditions, which allowed the Federal Reserve (the Fed) to continue to raise the federal funds target.