Now that is, call it, half of the analysis. The idea was that there was a potential inflection coming in the market where a subsequent rally would form. The second half is then taking said idea and expressing that view. Most in DeltaOne manage their own books as they see fit based on duration, risk (capital available) as well as their personal investing goals so the structure of the idea, ultimately, comes down to each individual.
However, with this market inflection we discussed expressing the idea through ETFs and Index call options as a way to capture alpha. Were there other ways to express this view with say individual names? Yes of course but given the analysis on the underlying names and macro cycle we were/are in the best path forward was through the use of ETFs and Index calls.
So this is one way to drive returns v. say, finding an individual stock and looking to buy and hold. For those reading these articles this would be categorized as a trade not an investment.