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Dinank Chitkara

Dinank Chitkara

Senior Associate, MSCI Research

Dinank Chitkara is a member of the MSCI research team focused on derivatives and exchange solutions, which provides quantitative solutions for listed futures and options. He previously worked as a market risk manager on the scenario-design team at Credit Suisse and as a data scientist at Walmart Labs. Dinank holds a master’s degree in economics from the Delhi School of Economics, University of Delhi, as well as a certificate in quantitative finance from the CQF Institute.

Research and Insights

Articles by Dinank Chitkara

    Sector Insights from India’s Equity Market

    6 mins read Blog | Jan 23, 2024 | Dinank Chitkara, Rohit Gupta

    A sector-based perspective of the Indian equity market, one of the emerging beneficiaries of global power shifts, indicates the valuation premiums of most sectors are high in historical terms and relative to sectors in other emerging markets.

    ESG and Climate Reporting with Derivatives

    Research Report | Jan 5, 2024 | Hitendra D Varsani, Yuliya Plyakha Ferenc, Yu Ishihara, Dinank Chitkara, Rumi Mahmood

    No clear guidance presently exists on ESG and climate reporting for derivatives. Using input from market participants, regulatory guidance and a survey of existing research, we propose a framework for more transparent reporting to include derivatives. 

    Markets in Focus: Concentrating on Diversification

    10 mins read Blog | Jan 4, 2024 | Hitendra D Varsani, Andy Sparks, Dinank Chitkara

    Higher equity and bond correlation combined with increased index concentration suggest now is a good time to revisit allocations across regional, country, sector, style and thematic exposures for adequate portfolio diversification. 

    Low Volatility Today. Concern or Opportunity for Tomorrow?

    3 mins read Quick Take | Sep 27, 2023 | Dinank Chitkara, Hitendra D Varsani

    The cost of hedging downside equity exposure has fallen substantially versus eight months ago, markedly lowering the price of insurance against rising equity volatility.

    Insights from Past Concentrated Rallies and Thematic Opportunities

    5 mins read Blog | Aug 16, 2023 | Dinank Chitkara, Rohit Gupta

    The rally in the first half of 2023 shared some similarities, and had notable differences, with past concentrated rallies. In addition to AI, structural megatrends, such as the blockchain economy and robotics, helped drive the rally. 

    'Magnificent Seven' Drove the Equity-Market Rally

    2 mins read Quick Take | Jun 28, 2023 | Dinank Chitkara, Rohit Gupta

    Global equities, as measured by the MSCI ACWI Index, roared back through May of 2023. A closer look, however, revealed that just a handful of stocks accounted for more than 70% of the total return. Which stocks punched above their weight? 

    The Futures of Climate Action Is Now

    6 mins read Blog | Jun 7, 2023 | Dinank Chitkara, Hitendra D Varsani

    Derivatives linked to climate investing are in the early stages of product innovation and investor adoption. We compared the impact, financial risk and opportunity metrics for futures on the MSCI Climate Action Indexes.  

    Did the Trend Toward Short-Dated Options Extend Across Regions?

    2 mins read Quick Take | May 12, 2023 | Dinank Chitkara, Hitendra D Varsani

    Following up on research showing why more short-dated options did not increase equity-market volatility in the U.S., we ask a similar question across regions to help global investors evaluate their portfolios.

    Why More Short-Dated Options Did Not Increase Market Volatility

    4 mins read Blog | May 4, 2023 | Dinank Chitkara, Hitendra D Varsani

    Trading of U.S.-listed options more than doubled in 2022 compared to 2019 — as investors gradually gravitated from monthly to weekly to even daily options over those four years. Some have wondered if this could lead to greater equity-market volatilty.

    Banking Crisis: Is a Storm Brewing or Behind Us?

    2 mins read Quick Take | Apr 5, 2023 | Edina Szirmai, Dinank Chitkara

    After the collapse of Silicon Valley Bank and UBS’s takeover of Credit Suisse, what does the options market indicate for equity-market volatility in the months ahead?

    A Day in the Life of Regional Futures

    5 mins read Blog | Feb 15, 2023 | Hitendra D Varsani, Dinank Chitkara

    Investors benchmarked to global and regional indexes may use index futures for hedging or asset-allocation decisions. We analyzed the intra-day volume patterns of futures linked to the MSCI World, MSCI EM and MSCI EAFE Indexes to illuminate pockets of liquidity.

    India Equity Futures for the World

    6 mins read Blog | Jan 17, 2023 | Rohit Gupta, Dinank Chitkara

    India is the world’s fifth largest economy and one of the fastest-growing major markets. We believe that futures linked to the MSCI India Index could help capture a deeper opportunity set and manage Indian equity exposure. 

    Derivatives Tell a Protective Story

    2 mins read Quick Take | Oct 4, 2022 | Dinank Chitkara, Hitendra D Varsani

    Geopolitical and macroeconomic risks have persisted, and investors remain concerned about ongoing turmoil. We assess market volatility while analyzing whether investors are hedging their portfolios going into the final quarter of 2022. 

    How Have Hedge Funds Navigated the Recent Market Turmoil?

    2 mins read Quick Take | Jul 7, 2022 | Rohit Gupta, Dinank Chitkara

    With the MSCI World Index down 20.3% in the first half of 2022, equity hedge funds have not been immune to recent market volatility. We evaluate how equity hedge-fund exposure has changed in terms of sector and style factors.

    Index Replication with Futures in a Deglobalized World

    5 mins read Blog | Jul 6, 2022 | Hitendra D Varsani, Dinank Chitkara

    While investors may aim to synthetically replicate equity indexes using a basket of local-index futures and currency forwards, our research focuses on potential country and currency risk as well as tracking error of these efforts. 

    Index Options Indicated Negative Market Sentiment

    2 mins read Quick Take | May 25, 2022 | Dinank Chitkara, Hitendra D Varsani

    In the face of continued global equity-market volatility, we turn to the listed-options market to gauge investor perception of market risk over the coming months for EAFE, emerging markets and the U.S.

    Evaluating Options in Different Macro and Volatility Regimes

    5 mins read Blog | Mar 22, 2022 | Dinank Chitkara, Hitendra D Varsani

    Faced with volatile markets, some have looked to options strategies to manage volatility or target alternative risk/return profiles. We evaluate historical performance of options-overlay strategies across various macro and volatilty regimes.

    Paris-Aligned Indexes to Manage the Future

    6 mins read Blog | Feb 17, 2022 | Dinank Chitkara, Hitendra D Varsani, Rohit Mendiratta

    As commitments to reach net-zero by 2050 surge, institutional investors are looking for tools to implement net-zero strategies in portfolios. Futures linked to the MSCI Climate Paris Aligned Indexes are one option for asset managers and asset owners.