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Very interesting, FIRE'd.
Since it sounds like you have dealt with options a lot more than me, how often is the case where implied volatility is higher than the realized volatility? Is this generally the case? Or does it happen when volatility is picking up and people get overly anxious, thereby overshooting the implied volatility? Is this a usual occurence or some data-mining/cherry picking that occured over the past 20 years? I guess my question is, is it statistically significant or more of something that averages itself out over time?
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