Mutual fund can’t do much but hedge fund, fund of fund and derivative-based scheme such as insurance can do a lot.
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Does not mean he went through the crash when he knows how to escape from the crash, that is also survival technique ! 
I agree. Like I said before, once their AUM get too big even they are limited. I can comfortably sell covered calls and secured puts. How do you sell secured puts when you have $1B in cash? It’d be hard to sell covered calls when you have billions worth of stocks. There’s a reason they sell short vs buying puts. They can’t buy puts at their scale.
Options have limit to the quantity you can buy, can’t remember the limit off hand, because you are transacting with the market makers not another trader. The market makers have to guard against potential losses due to black swan, when their hedging may not work well.
They can buy puts, but not on individual stocks. I remember WB sold S&P puts during the 2008 financial meltdown. Big players write custom contracts instead of doing it thru the options markets. Credit default swaps are sorta like puts.
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Not many market makers want to take the risk 
Some one is likely taking the opposite bets, in any case index are way more liquid, easier for market makers to hedge.
Btw, start of sentence you say buy puts, later you say WB sells puts… so buy or sell
Hedge funds bought S&P puts from WB. I remember WB made profit at the end but in the intervening years had to write down the value and affected Berkshire’s profit.
Yes index options are way more liquid. Or just go long or short S&P futures. Swim with the big sharks.
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I bet you guys on this forum are smarter than the other couple of so called “investors” that don’t know crap about anything else than what’s in front of their dumb skulls. You know about paying taxes on any returns you get…right?
Of course, with some exceptions, but taxes are paid according to your tax bracket.
Please inform a couple of dummies somewhere about that…
Thank you!
@buyinghouse is at it again being the king of partial information. Yes, we’ll pay taxes on the gains when we sell. We control when the taxes get paid. We also don’t have to pay 5% compound interest to use our money. You made 16%, but you have to pay 5% interest to use your money. That means you’re netting 11%. Would you rather make 21% and pay taxes or make 11% tax free?
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As my mentor said last night reading this…please don’t waste your time with ignorant people. Specially those idiots who say they control “their money”. 
Those, he said, who don’t know their money is not risked at all. 
Yes, that’s typical deflection when people are confronted with inconvenient facts. They don’t address the facts. They attack the individual as ignorant. That’s despite the fact I proved you’re lying about the loan interest being simple interest.
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Thinking above, I am keeping quiet
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Dow down 400 today… so farrrr… 
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… 30 minutes later … → -575
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… end of trading day … → -420
Will all this Trump tariff scare really happen?
Already happened. Lumber tariff, steel tariff. Tariff can earn him votes. Economically it would hurt other countries more
Silicon Valley does not produce commodity products, nobody can impose a tariff on SV
Also happened in 2002
Even Hillary was threatening tariffs. Tariffs can earn votes
Ahhhhh, I got it why software/Tech is up today and rest are down deep red !
Tariff is good for workers and some industries. But it creates an uncertainty for other industries. Negative for stocks in the short term
Lol…I was wondering the same about the sectors.
Came back from grocery shopping,
