Just tested the effect of a long straddle on SVXY.
Time period: Jan to Jan (1 year)
Strike: At the Money
Put share: 50%
Call Share: 50%
IV: 53% (the current one)
Average annual return from 2005-2014 : 120%
Max annual Drawdown: Amazingly, this strategy is not down even a single year.
If I increase IV to 60%, average annual return is 95%, and max annual drawdown is -11%.
This is as lazy as a strategy can be. Basically no thinking involved.
Disclosure: The author is long SVXY.