What is the benefit of speculating on the Relative Value of an asset?

The creation of Relative Value Derivatives unlocks a new paradigm for speculators and can greatly benefit the average market participant:

  • Potential for gains even during a negative market environment where both assets depreciate

  • Ability to deploy hedging strategies against current spot or futures positions

  • Ability to identify market trends and speculate based on fundamental analysis of an asset instead of having to primarily observe macro factors

  • Ability to speculate between competitive assets of the same type or between different asset classes/indexes

Last updated