Quants Are Trying To Keep Up As Retail Investors Get Increasingly Options Savvy

More U.S. retail investors than ever before are buying single-stock options or pouring money into options-based investment products. This has repercussions for the Standard & Poor’s 500 implied volatility surface. Are the volumes significant enough for quantitative portfolio managers to take into account? And if so, how should they consider the retail impact within their models? Elinor Comlay reports.