Windjammer

1. hedge dynamically when the implied vol in the option price is high and the portfolio manager believes that future realized vol will be lower than the implied vol.

the opposite is true for option hedge.

2. decline
3. true
4. interest risk, prepayment, vol, model, spread
5. OAS
6. Level and twist
7. true
8. delta*duration of underlying*price_underlying/price_option