How Hedge Funds Are Gaming the Warsh Fed Pivot

Episode 59 of The Hedge Fund Podcast dives into how macro hedge funds are positioning for a more hawkish Federal Reserve under Chairman Warsh. Lucas and Luna unpack the latest FOMC meeting where Warsh abstained from giving a rate forecast, while several members signaled a potential hike in 2026. They analyze how funds are using options on the VIX and VVIX to hedge against volatility, and how the yield curve steepening is driving relative-value trades. Specific focus: the divergence between the VIX (at 16.40, down 7% in a week) and the VVIX (at 88.43, down 5.7%), and what that says about tail-risk hedging. Plus, a look at how the 'Warsh pivot' narrative has shifted from dovish hopes to hawkish reality, and what that means for hedge fund portfolios as we head into the second half of 2026. #WarshFed #HedgeFunds #Volatility #VIX #VVIX #FedPivot #FOMC #MacroHedgeFunds #YieldCurve #OptionsTrading #TailRisk #CentralBanking #Investing #Finance #Business #FexingoBusiness #BusinessPodcast #HedgeFundPodcast Keep every episode free: buymeacoffee.com/fexingo