Is a VIX ETP an investment in the VIX?

Authors

  • R. Parker Clowers Auriemma Consulting Group, Inc
  • Travis Jones b Lutgert College of Business, Florida Gulf Coast University

DOI:

https://doi.org/10.61190/fsr.v25i1.3266

Keywords:

VIX index, ETFs, ETPs

Abstract

eturn and risk of these products are not related to the return and risk of the VIX index. The authors note that VIX ETPs do not correlate well to the VIX index. In fact, these funds are not even designed to have a high correlation to the VIX index. Individual investors can often mistake VIX ETPs for an investment in the VIX index itself, which is incorrect and may lead to a costly mistake.

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Published

2016-03-30

How to Cite

Clowers, R. P., & Jones, T. (2016). Is a VIX ETP an investment in the VIX?. Financial Services Review, 25(1), 73–85. https://doi.org/10.61190/fsr.v25i1.3266

Issue

Vol. 25 No. 1 (2016): Spring 2016

Section

New Original Submission

License

Copyright (c) 2014 Academy of Financial Services

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