Swedroe: Volatility & Corrosive Contango

ETF.com
Feb 28, 2014

Exchange-traded products (ETPs) linked to the CBOE Market Volatility Index (VIX) were launched in January 2009. There are now more than 30 ETPs with a market value of about $4 billion, generating daily trading volume in excess of $800 million. You might wonder why there's all this interest. Robert Whaley, Valere Blair Potter Professor of Management and Director of Vanderbilt's Financial Markets Research Center, sought the answer.

 

FULL STORY