VIX ETFs are popular tools for hedging or speculating on volatility, tracking VIX futures. VIXY, VIXM, VXX, VXZ for short-term plays, SVIX for inverse volatility, UVXY for aggressive traders. Today's drop means gains for SVIX and declines for VXX, VIXY, and UVXY.
Barclays Bank PLC (“Barclays”) announced today that it will implement a 1 for 4 reverse split of two series of iPath® ETNs (together, the “ETNs”): the iPath® Series B S&P 500® VIX Short-Term Futures™ ETNs (CUSIP: 06748F324) (the “VXX ETNs”) and the iPath® Series B S&P 500® VIX Mid-Term Futures™ ETNs (CUSIP: 06746P613) (the “VXZ ETNs”). Barclays intends the reverse split for each series of ETNs to be effective at the open of trading on Wednesday, July 24, 2024. Each series of ETNs currently trades on the CBOE BZX Exchange (“CBOE”) under the ticker symbol “VXX” for the VXX ETNs and “VXZ” for the VXZ ETNs.
the VIX at current levels is responding to the high levels of risk appetite present in the financial markets following a strong couple of months for equities
The S&P 500 experienced a peak-to-trough drawdown of 7.83% between the July closing high and last week’s closing low. The VIX can be used in a weight-of-the-evidence approach to examine the correction or bear market question.
The odds associated with all investments (ETFs, individual stocks, bonds, etc.) are impacted by the market's tolerance for risk, which can be monitored numerous ways.
