In this episode of Investor Connect, Paul Martin sits down with Stephen Diggle, founder of Vulpes Investment Management. From his country house in Umbria, Italy, Stephen recounts his journey from running one of Asia’s largest hedge funds during the 2008 financial crisis to managing a family office-backed investment firm. He explains why they decided to pivot to a family office model following the immense success of their long volatility and short credit strategy, generating $3 billion for their investors in just 14 months.  Stephen also dives into volatility trends, the significance of tail risk strategies, and why he’s reopening volatility funds in response to potential market volatility under the Trump administration and growing market complacency. Stephen elaborates on the mechanics and importance of tail risk strategies, sharing insights from his 2008 experience, including their lucrative hedge against Lehman Brothers’ collapse. He discusses how such strategies find opportunities where sellers underestimate catastrophic risks, providing a non-correlated hedge against market downturns. Steve also highlights the lessons learned from the 2008 financial crisis, emphasizing the need for diversifying investments into tangible assets like land and gold. Finally, the conversation touches on the current trends in volatility and the impact of passive investing on market stability. Stephen warns of the potential risks posed by an over-reliance on passive strategies and dynamic hedging, suggesting a reevaluation of traditional diversification assumptions. As markets reach all-time highs, he stresses the importance of preparing for unexpected market shifts.  Visit Vulpes Investment Management at ,   Reach out to at   _______________________________________________________ For more episodes from Investor Connect, please visit the site at:    Check out our other podcasts here:   For Investors check out:   For Startups check out:   For eGuides check out:   For upcoming Events, check out    For Feedback please contact info@tencapital.group    Please , share, and leave a review. Music courtesy of .

Copyright (c) 2025, Hall Martin and investorconnect.org. All rights reserved.

Disclaimer:
Hall T Martin is the director of Investor Connect, which is a 501(c)(3) nonprofit dedicated to the education of investors for early-stage funding. All opinions expressed by Hall and podcast guests are solely their own opinions and do not reflect the opinion of Investor Connect. This podcast is for informational purposes only and should not be relied upon for the basis of investment decisions.