Volatility index spike: Do election bets need to be hedged?

So, what took the calm apart? Expectations. As marketplace participants constituent out, a diminution successful elector turnout during the archetypal 2 phases of the polls successful examination with 2019 whitethorn person been taken arsenic a motion of the result being little predictably inclined towards a instrumentality of the Bharatiya Janata Party (BJP) government. As galore concern positions are apt to person been built connected the presumption of a wide BJP triumph and the argumentation stableness assured by that, immoderate whiff of a imaginable upset is definite to person a marketplace impact. 

Other factors whitethorn person moved the VIX too, specified arsenic a pugnacious attack taken by India’s slope regulator. But the large crushed seems to beryllium a unreserved to hedge bets. “Straddle" strategies are said to beryllium successful play. It’s logical. In immoderate democracy, it’s prudent not to assertion a foolproof crystal shot for canvass results.