Illustration: Aïda Amer/Axios
Universa Investments, the "black swan" hedge fund, had a pretty good March.
Why it matters: While the coronavirus pandemic isn't really a black swan — a lot of people knew such a thing would come at some point — the slump in the markets was severe enough that the fund's out-of-the-money options trades suddenly became extremely profitable.
The state of play: The hedge fund, which is designed to act as a hedge against unexpected market dislocations, gained 3,612% last month.
- The fund is advised by Nassim Nicholas Taleb, the options trader turned author.
Go deeper: The next dominoes in the coronavirus economy