Is tail-risk hedging worth the trouble?

Extreme events potentially lurk around every corner these days it seems, so it’s no surprise that the topic of tail-risk hedging has resurfaced with a vengeance as investors seek better downside protection. But rather than asking how to protect their investment portfolios against extreme risks, asset owners should perhaps first ask themselves whether it's worth the effort to do so. The Thinking Ahead Institute reckons the top-three extreme risks that could have a big impact on e…