Well that's the source of volatility isn't it? Some people get it, some don't, and they fight it out in the markets. The spectrum of "smart money" still follows the Gaussian distribution curve. Quiescent markets then converge on the reversion to the mean. Along the way, volatility is the mother's milk of the quant arbs, quietly vacuuming up the nickels and dimes of the frenetic who won't miss them.