Risk 2.0 isn’t just a theory—it’s changing how risk is measured, analysed, and managed in real time.
In part one of our Risk 2.0 series, we explored the concept as a more adaptive approach to risk—one that accounts for uncertainty, resilience, and long-term thinking.
In part two, we turn to practice. Investors are applying new tools, new data, and new thinking to navigate today’s more complex landscape. From forward-looking indicators to options-based hedging, the focus shifts from philosophy to application.
Joined by Benedek Voros, Director of Index Investment Strategy at S&P Dow Jones Indices, and Mandy Xu, Head of Derivatives Market Intelligence at Cboe Global Markets, we unpack the relevance of volatility dashboards, the growing role of dispersion, the breakdown in traditional correlations, and the tools enabling more precise, flexible risk management.
Historically options had a reputation for being a little bit more complicated, more sophisticated and maybe not as accessible to the end retail investor. That’s no longer the case. And part of that is the rise of option-based strategies.
Mandy Xu, Head of Derivatives Market Intelligence, Cboe Global Markets
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S&P Dow Jones Indices LLC is not an investment advisor, and S&P Dow Jones Indices makes no representation regarding the advisability of investing in any such investment fund or other investment vehicle. S&P Dow Jones Indices does not sponsor, endorse, sell, promote or manage any investment fund or other investment vehicle that is offered by third parties and that seeks to provide an investment return based on the performance of any index.
S&P Dow Jones Indices is an independent third-party provider of investable indices. S&P Dow Jones Indices does not sponsor, endorse, sell or promote any investment fund or other vehicle that is offered by third parties. The views and opinions of any third-party speaker are his/her own and may not necessarily represent the views or opinions of S&P Dow Jones Indices or any of its affiliates.
Dispersion overcomes the drawbacks of correlation and provides what we believe is a much better measure of risk for a portfolio.
Benedek Voros, Director of Index Investment Strategy, S&P Dow Jones Indices
Podcast: The evolution of Risk 2.0
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Research paper: Systemic risk | deepening our understanding
Research paper: Systemic risk | adapting our practices
