Alpha Exchange

Dean Curnutt

The Alpha Exchange is a podcast series launched by Dean Curnutt to explore topics in financial markets, risk management and capital allocation in the alternatives industry. Our in depth discussions with highly established industry professionals seek to uncover the nuanced and complex interactions between economic, monetary, financial, regulatory and geopolitical sources of risk. We aim to learn from the perspective our guests can bring with respect to the history of financial and business cycles, promoting a better understanding among listeners as to how prior periods provide important context to present day dynamics. The “price of risk” is an important topic. Here we engage experts in their assessment of risk premium levels in the context of uncertainty. Is the level of compensation attractive? Because Central Banks have played so important a role in markets post crisis, our discussions sometimes aim to better understand the evolution of monetary policy and the degree to which the real and financial economy will be impacted. An especially important area of focus is on derivative products and how they interact with risk taking and carry dynamics. Our conversations seek to enlighten listeners, for example, as to the factors that promoted the February melt-down of the VIX complex. We do NOT ask our guests for their political opinions. We seek a better understanding of the market impact of regulatory change, election outcomes and events of geopolitical consequence. Our discussions cover markets from a macro perspective with an assessment of risk and opportunity across asset classes. Within equity markets, we may explore the relative attractiveness of sectors but will NOT discuss single stocks.

  1. vor 6 Std.

    Franklin Parlamis, Founder & CIO, Aequim Alternative Investments

    It was a pleasure to host an Alpha Exchange discussion with Franklin Parlamis, the Founder and CIO of Aequim Alternative Investments. Franklin brings a distinctive perspective shaped by two decades in capital structure and convertible bond arbitrage. His career spans the Russian debt restructuring of 1998—where he witnessed firsthand how broken correlations can unwind hedges—through the convertible market collapse of 2008, when leverage amplified systemic stress and "the machine broke." Our conversation explores how convertibles sit at the nexus of multiple asset classes: rates, rate volatility, credit, credit volatility, equities, and stock lending. When any of these inputs malfunctions, arbitrage breaks down. Franklin's experience navigating the GFC reinforced a critical lesson: sometimes the bravest move is admitting losses and right-sizing risk, a discipline that positioned his team to prosper during 2009's rebound. Franklin articulates a central insight: markets are generally good at identifying undervalued companies but less efficient at allocating value across the capital structure. The key tension he navigates is credit spreads versus equity volatility. When spreads are wide and implied vol is low, convertibles offer clean arbitrage: the rich credit premium can fund put protection at cheap vol levels. Today's environment inverts this relationship: spreads remain tight while vol sits elevated, forcing arbitrageurs to continuously realize vega rather than harvest it passively. We close by examining whether elevated implied volatilities represent a permanent regime shift or cyclical peak. Rather than making a binary call, Franklin describes the process he uses to identify asymmetric opportunities across plausible scenarios. I hope you enjoy this episode of the Alpha Exchange, my conversation with Franklin Parlamis.

  2. 10. Juli

    David Silber, Head of Institutional Equity Derivatives, Citadel Securities

    It was a pleasure to welcome David Silber, Head of Institutional Equity Derivatives at Citadel Securities, to the Alpha Exchange to discuss the evolution of listed options markets, institutional liquidity, and the technology reshaping modern derivatives trading. We begin with Dave’s early career on the floor of the Chicago Board Options Exchange during the transition to multi-listed options, where market making, open outcry, and physical proximity to order flow defined liquidity provision. He reflects on the evolution of the options market from paper tickets and fractional pricing to today's electronic ecosystem, highlighting how advances in technology have fundamentally changed both price discovery and risk management. We then turn to the creation of Citadel Securities’ institutional derivatives business. Dave explains how his experience across multiple firms led him to identify opportunities to reduce friction in institutional options execution by combining technology, quantitative research, and broad access to liquidity. He describes how automation, electronic execution, and competitive pricing have transformed the institutional trading experience while expanding access to listed options. The discussion also examines recent growth in listed options markets, including increasing contract volumes, shorter-dated expirations, and the expanding use of listed options by institutional investors for hedging, leverage, and portfolio management. Dave shares his perspective on liquidity provision, risk management, and the importance of maintaining resilient markets during periods of elevated activity. We conclude with a discussion on recruiting talent, developing strategy and data products for clients, and aligning sales, trading, and technology teams around creating a more efficient experience for institutional investors. I hope you enjoy this episode of the Alpha Exchange, my conversation with David Silber.

  3. 30. Juni

    Aaron Brown, Wall Street Quant and Author: Wrong Number

    Aaron Brown is a Wall Street quant, risk manager, and trader. He’s also a professor and the author of the recent book Wrong Number—on probability, reasoning, and the role of skepticism in markets and beyond.   We begin with Aaron’s unconventional path into finance, from identifying betting opportunities in horse racing and playing professional poker to studying under pioneers including Fischer Black before spending decades on Wall Street.   The conversation explores how concepts from poker—including bankroll management, Kelly sizing, and separating risk management from individual decisions—translate into portfolio construction and investing.   We then turn to Aaron’s latest book, Wrong Number, which examines the misuse and misinterpretation of statistics across a range of public policy and scientific topics. He discusses common errors surrounding p-values, data quality, and the incentives that shape published research, emphasizing the importance of skepticism and careful interpretation of statistical claims.   The discussion shifts back to financial markets, including factor investing and the evolution of systematic strategies. Aaron reflects on the distinction between economically meaningful factors and statistical overfitting, while also discussing how artificial intelligence may improve risk management and market surveillance.   We conclude by exploring prediction markets, the wisdom of crowds, and price formation. Aaron shares his perspective on probability, market games, and the role prediction markets can play in helping participants better understand both market expectations and their own decision-making. I hope you enjoy this episode of the Alpha Exchange, my conversation with Aaron Brown.

  4. 25. Juni

    David Dredge, Founder and CIO, Convex Strategies

    David Dredge, Founder and CIO of Convex Strategies, has spent his career in derivatives markets, on the long side of optionality and seeking value in convexity. It was great to learn more about the role he plays in fortifying client portfolios with insurance and to have him reflect on how periods of market stress expose limitations in traditional risk methodologies. Our conversation focuses on volatility supply and the structural forces that generate it. Here, David discusses the growth of structured products across equities, rates, and FX markets, and explains how regulatory frameworks, accounting treatment, and yield-seeking behavior contribute to the persistent creation of short-volatility exposures throughout the financial system. David describes Convex Strategies as a value investor in volatility, focused on sourcing efficient insurance rather than trading volatility for profit. He explains how the firm seeks to identify areas where volatility is supplied at attractive prices and where convexity can provide meaningful diversification during periods of stress. We also explore the role of leverage, correlation assumptions, and risk management frameworks in amplifying market dislocations. David discusses examples ranging from LTCM and the Global Financial Crisis to the rate volatility repricing of 2022. The conversation concludes with perspectives on Japan, global bond markets, and the importance of pricing when constructing hedges. Throughout, David emphasizes that the effectiveness of any hedge depends not simply on the instrument itself, but on the value at which that protection is acquired. I hope you enjoy this episode of the Alpha Exchange, my conversation with David Dredge.

  5. 22. Juni

    Samir Patel, Global Head of Global Market Sales, Nomura Securities

    It was a pleasure to host a discussion with Samir Patel, Global Head of Global Market Sales at Nomura Securities International, on leadership, client strategy, and the evolution of institutional markets businesses in an environment defined by constant change.   The conversation emphasizes how institutional client relationships have evolved over time. Samir explains why clients increasingly seek counterparties with differentiated strengths rather than broad-based coverage across every product area. He discusses how Nomura has focused on areas where the firm can leverage structural advantages, including solutions-oriented financing and strategies tied to concentrated equity positions.   We also explore the growing importance of alignment across sales, trading, structuring, legal, compliance, and risk management. Samir outlines how cross-functional coordination and global product integration are critical as markets and client needs grow more interconnected. The discussion also covers recruiting, mentorship, and talent development. Here, Samir reflects on the apprenticeship culture within markets businesses and the importance of curiosity, adaptability, and long-term passion for financial markets in developing younger professionals.   A major theme throughout the episode is technology and AI. Samir discusses how automation and AI-driven tools are increasingly being applied across onboarding, structured products, workflow management, and client analytics, while also reshaping how firms think about productivity and scalability.   We close with thoughts on market structure, global connectivity, competitive dynamics, and the importance of maintaining flexibility in a rapidly evolving financial ecosystem.   I hope you enjoy this episode of the Alpha Exchange, my conversation with Samir Patel.

  6. 12. Juni

    Colin Lancaster, Global Co-Head of Discretionary Macro and Fixed Income at Schonfeld Strategic Advisors

    It was a pleasure to welcome Colin Lancaster, Global Co-Head of Discretionary Macro and Fixed Income at Schonfeld Strategic Advisors, back to the Alpha Exchange. Our discussion focuses on the evolution of the multi-manager model, portfolio construction, and the challenges of navigating today’s macro environment.   Colin discusses the importance of systems, data, and risk infrastructure, and why scale has increasingly become a competitive advantage. We explore how firms differentiate themselves through strategy mix, geographic focus, and organizational culture, even as the industry has converged around a similar set of core investment disciplines.   A further theme throughout the discussion is talent. Colin outlines his approach to identifying and underwriting portfolio managers, emphasizing self-awareness, intellectual honesty, resilience, and the ability to articulate a sustainable edge. He also discusses the growing importance of managing correlations across strategies, particularly during periods of market stress.   Lastly, we turn to the macro backdrop, including inflation persistence, sovereign bond markets, central bank policy, and the changing role of liquidity in financial markets. Colin shares views on crowding, leverage, and the risks associated with concentrated positioning across increasingly interconnected markets.   I hope you enjoy this episode of the Alpha Exchange, my conversation with Colin Lancaster.

  7. 2. Juni

    Ronnie Wexler, Global Head of Equities Distribution, Barclays

    It was a pleasure to host a discussion with Ronnie Wexler, Global Head of Equities Distribution at Barclays, and solicit his insights on change – in markets, in client relationships and in the growing role of technology across the financial ecosystem. We begin with Ronnie’s early years at Goldman Sachs during the final stages of the technology bubble and the sharp market reversal that followed. He reflects on how periods of market stress, from the post-dot-com bear market to the GFC, have shaped his perspective on risk and the importance of being adaptable in markets that are constantly moving. The conversation then turns to the changing structure of institutional investing. Ronnie discusses the growth of hedge funds in pursuit of industrial-scale alpha generation, highlighting how client needs have become increasingly cross-asset, and solutions-oriented. He explains how a sell-side equities business today functions as an integrated ecosystem that spans prime brokerage, derivatives, electronic trading, and financing. A major theme throughout the discussion is the accelerating pace of technological change. Ronnie describes recent experiences using AI development tools and outlines how firms are integrating them into workflows ranging from onboarding and automation to research distribution and client analytics. We also explore the rise of bespoke and OTC solutions, including quantitative investment strategies, custom baskets, and exotic option structures. Here Ronnie emphasizes that these products reflect broader changes in market structure, positioning, and risk transfer across institutional portfolios. The conversation concludes with thoughts on recruiting, apprenticeship culture, and the need for firms to balance human judgment with increasingly sophisticated technological infrastructure.

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The Alpha Exchange is a podcast series launched by Dean Curnutt to explore topics in financial markets, risk management and capital allocation in the alternatives industry. Our in depth discussions with highly established industry professionals seek to uncover the nuanced and complex interactions between economic, monetary, financial, regulatory and geopolitical sources of risk. We aim to learn from the perspective our guests can bring with respect to the history of financial and business cycles, promoting a better understanding among listeners as to how prior periods provide important context to present day dynamics. The “price of risk” is an important topic. Here we engage experts in their assessment of risk premium levels in the context of uncertainty. Is the level of compensation attractive? Because Central Banks have played so important a role in markets post crisis, our discussions sometimes aim to better understand the evolution of monetary policy and the degree to which the real and financial economy will be impacted. An especially important area of focus is on derivative products and how they interact with risk taking and carry dynamics. Our conversations seek to enlighten listeners, for example, as to the factors that promoted the February melt-down of the VIX complex. We do NOT ask our guests for their political opinions. We seek a better understanding of the market impact of regulatory change, election outcomes and events of geopolitical consequence. Our discussions cover markets from a macro perspective with an assessment of risk and opportunity across asset classes. Within equity markets, we may explore the relative attractiveness of sectors but will NOT discuss single stocks.

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