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VIXY

$--
--%
1d
1w
1m

Analysis and statistics

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About

VIXY.US is an exchange-traded fund (ETF) that provides exposure to short-term volatility expectations in the U.S. stock market. Specifically, it seeks daily investment results, before fees and expenses, that correspond to one and a half times (1.5x) the daily performance of the S&P 500 VIX Short-Term Futures Index. This index reflects the prices of the first and second month VIX futures contracts, offering investors a way to potentially profit from increases in implied volatility, often referred to as the "fear gauge." Due to the nature of VIX futures and the fund's leveraged structure, VIXY.US is generally considered a short-term trading tool and is subject to significant price fluctuations and potential decay, especially in periods of low or declining volatility.
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Factors

VIX Futures Prices: VIXY replicates an investment in short-term VIX futures. Higher VIX futures prices increase VIXY's value, while lower prices decrease it. Market Volatility Expectations: VIXY's value increases when investors expect higher market volatility. The greater the expectation of market swings, the higher the price of VIX futures, and therefore VIXY. Contango/Backwardation: Contango, where futures are pricier than spot, erodes VIXY's value as it rolls contracts. Backwardation, where futures are cheaper, benefits VIXY during rollovers. Time Decay: VIXY experiences time decay because VIX futures prices tend to revert to the mean over time. This erodes VIXY's value even if volatility remains stable.

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