Host Ryan Nauman welcomes David Nicholas, founder and CEO of XFUNDS, to discuss what a strong multi-year equity run means for investors and how to prepare for potential selloffs. Nicholas explains why focusing only on capital appreciation can be risky, argues that true diversification means some parts of a portfolio will lag, and emphasizes drawdown as a practical risk measure compared with volatility alone. He describes how investors often underestimate their drawdown exposure and how income generation can help investors avoid selling during downturns. Nicholas outlines XFUNDS’ approach using option overlays such as put spread selling and iron condors to harvest volatility and generate income without fully capping upside, and…