How Benchmark's Kevin Kelly Is Trading Prologis

Kevin Kelly from Benchmark Investments discusses recent market trends, highlighting the S&P 500's 16% rise and current volatility levels. He notes the muted VIX levels and potential geopolitical risks. The conversation shifts to Prologis, a key player in e-commerce growth, driven by Amazon's demand for warehousing. Kelly suggests a trading strategy involving Prologis, emphasizing options premium and dividends.

What is the current state of the options market according to Kevin Kelly?

• Bullish with high volatility

• In a no man's land with muted volatility

• Sideways with increasing volatility

• Bearish with low volatility

How is Prologis benefiting from the growth of e-commerce?

• By decreasing labor costs

• By reducing warehouse costs

• By placing warehouses far from city centers

• By capturing growth through strategic warehouse locations

What is the main reason for Amazon's reinvestment in its infrastructure?

• To expand internationally

• To meet surging retail demand

• To reduce shipping costs

• To decrease labor expenses

What is the suggested trading strategy involving Prologis?

• Sell the stock and buy a put option

• Buy the stock and sell an August call option

• Buy the stock and hold indefinitely

• Short the stock and buy a call option

What is the expected return from the suggested Prologis trading strategy?

• 8% over a year

• 5% over a year

• 6% over six months

• 10% over six months