How a trader named 50 cent made over $200 million in stock trading last week

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“The persistent buyer of VIX call options that we have been tracking finally made money – and how! As of the Feb 9th close, we calculate that ’50 Cent’ is up nearly $200 million ever since we started tracking their purchases in January of last year,” Chintawongvanich wrote.

The strategist said his profit and loss analysis for the trader is under the assumption he or she hasn’t exited portions of the position. He also speculated the trades were not an outright bet on volatility, but protection for a long-biased portfolio.

“We will re-iterate that contrary to many sensationalistic reports, we think 50 Cent was running this strategy as a hedge rather than some kind of ‘doomsday bet.’ In other words, they were long risk against it,” he wrote.

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