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Joe Tigay, Portfolio Manager

5 posts

Joe Tigay is Managing Partner at Equity Armor Investments, sub-advisor to a volatility-hedged equity strategy at Rational Funds. Joe began his career in finance as an options market maker with Stutland Equities LLC. in 2005, working on the Chicago Board of Options Exchange and specializing in electronic market making. In 2008, Mr. Tigay became a member trader of the Chicago Board of Options Exchange (CBOE). As a member trader, Joe was a very active market maker in both SPX and VIX options from 2008 to 2012. Discussing options, volatility, and market insight, Joe has appeared on Bloomberg, BNN, and has a regular segment on CBOE.tv. Joe graduated from Michigan State University with a B.A. in Economics. He currently holds licenses for Series 3, 56, 65.

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5 min

Investment Strategy Insights

Amidst the Turmoil, Active Management and Hedged Equity Could Bolster Portfolio Performance

2020 continues to throw curveballs at the world, and especially financial markets. The economy and the stock market have become decoupled. In this historic time, we have seen historic stimulus from the congress and the Fed, leaving behind news events and stories that would normally drive the market lower. China trade deal falling apart, historic unemployment levels, the VIX remaining elevated, and now widespread civil unrest. But we can’t deny that the market is going higher, so we need to adjust.

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3 min

Adding Portfolio Diversification Via a Volatility Overlay!

The Dow Jones Industrial Average and S&P 500 Index are only down 8% on the year, happening at the same time the economy is seeing the worst economic slowdown since WWII.

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4 min

Hedged Portfolios and Careful Stock Selection are Key in Pandemic Environment

How does the stock market stack up in this recession compared to previous recessions, and what do forward price/earnings ratios (PE) and interest rates tell us?

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3 min

Learning from Past Market Correction Modes

Last month, I discussed how there are many similarities to 2007, with volatility and bond prices moving together. Couple some economic data like housing permit growth, PE for stocks, a rally in gold, and household debt all looking like 2007 numbers with volatility and bonds looking like investors are getting ready to head for the hills in the stock market, and the backdrop looks like a recession was imminent.

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3 min

Is the Bond Market Giving us a Warning Sign?

I'm sorry to bring this to your attention, but as a close watcher of the Cboe Volatility Index (VIX) for the past 20 years I felt it was my duty bring to light some ominous notes, unfortunately, and see below two charts comparing TLT (ETF that tracks long-term Treasury bonds) and the VIX.