Is there a simple way to spread the volatility of one product against another? By simple I mean one trade executed on each leg rather than constant delta hedging.
I can see a lot of opportunity for mean reversion trades in volatility between correlated markets but very few markets have underlying volatility products.
Would buying a straddle in one and sell a straddle in another (although not an exact replication) still be close enough to exploit a convergence/divergence in volatility between the two products? Any other ways to go about it?