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TAIL: VXZ May Be A Better Hedge, With A Caveat
The Cambria Tail Risk ETF offers downside protection for a stock portfolio via S&P 500 put options and U.S. Treasuries. TAIL outperforms inverse S&P 500 ETFs (SH, SDS) on risk-adjusted returns when used to hedge a core stock portfolio. The mid-term VIX futures ETF delivers superior risk-adjusted returns vs. TAIL but requires monitoring due to VIX futures complexity.
Seeking Alpha • Feb 9, 2026
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