"50 Cent" again with a mass market bet for market volatility

The trader, nicknamed 50 Cent, again made a serious market volatility bet in the next two months.
He has spent $3.8 million to hedge against potential sales on the market.
The stake is, of course, the volatility index VIX, with options based on it.
This time, the deal includes 74,300 call options of VIX with a strike of 21 and with a pay date in August, with the options being bought at a price of 51 cents.
The stake is very similar to that earlier this month month when 75,000 call options were bought, with a strike of $18 and a pay date in July.
It is already clear where the trader's nickname comes from - namely, by traditionally buying call options based on VIX, with a price of about 50 cents each.
The trader has gained popularity in recent months, in an environment where the volatility index is traded at a record low.
Market observers comment that the trader's new bet is largely related to the expiration of the June options that were part of his portfolio.

The mysterious trader "50 cent" made $27 million profit for a day from VIX (2)

The broad S&P 500, on Wednesday, noted its biggest daily decline since September 9, largely due to political uncertainty.
Despite the big profit on Wednesday, "50 cent" is still far from profits, overall, given the fact that his bets on increasing volatility in recent months have not been justified and have brought him substantial losses.
Experts estimate, after the profit of 27 million dollars on Wednesday, the trader still has about 90 million loss.
Recently, The Financial Times identified the trader as the London-based investment manager Ruffer LLP, referring to unnamed bankers.

The mysterious trader "50 cent" made $27 million profit for a day from VIX (1)

The mysterious US trader with options - nicknamed "50 cent" - has earned strong earnings after the sharp rise in volatility on Wednesday, according to the financial institution Macro Risk Advisors.
The trader, at least on paper, has earned $27 million, according to Pravit Chintawangvich, head of the option trading unit at the institution.
The VIX Index is one of the most widely watched indicators and a barometer of expected market volatility in the short term. On Wednesday, the index ended with an increase of 4.94 points, or its biggest daily increase since September.
The strong rise in the indicator has gravely favored the mysterious "50 cent" trader, who has periodically bought call-based options worth about 50 cents.
Index-based call options are pledged to raise the asset that is tied to a market sale.