Investors should look beyond short-term spikes in the VIX

Markets have seen a sudden return of volatility, leading many investors to fear that the recent sell-off might not be over. Explore some key insights into this episode below.

Where Next for Equities after Recent Volatility? (Man Group)

One of the more surprising features of the most recent correction was that overall, markets behaved rationally.

VIX: Uncertainty Is Non-Linear (MFS)

For compliance reasons, this paper is only accessible in certain geographies

Typically in life, and certainly in financial markets, the path from certainty to uncertainty is rarely slow and orderly but instead abrupt. Why?

RADTEC: A Framework for Managing Downside Risk (Research Affiliates)

Researchers have investigated asymmetric risk management and its potential to enhance risk-adjusted returns going back decades.

Should You Use the VIX to Time the SPX? (Quantifiable Edges)

This paper shows how the VIX has moved during all major market selloffs since 1990, which is as far back as this VIX data is available for.

Have Option Selling Strategies Suppressed Implied Volatility? (CAIA blog)

The first large wave of option selling and hedged equity investor interest hit the marketplace post Global Financial Crisis.

Creative Destruction, Stock Return Volatility, and the Number of Listed Firms

Stock return volatility is generally decomposed into systematic volatility and idiosyncratic volatility.

U.S. Economy Doubts Cause Market Volatility (Coutts & Co)

The economy is weakening in the U.S., but that doesn’t mean it’s weak. As such, conditions remain positive for risk assets generally.

Behind the Scenes of the Recent Market Volatility (Excess Returns)

In this episode of OPEX Effect, the speakers dive into the recent market volatility and its connection to options flows, highlighting important dynamics.