Rising tensions in the Middle East have renewed investor interest in volatility ETFs, which are designed to increase in value as expected market volatility rises.
VIX-linked ETFs track short-term futures on the CBOE Volatility Index, which measures expected equity market volatility derived from S&P 500 options.
The right framework for evaluating IVOL is not whether it outperformed the S&P 500 in a given year, but whether it fulfilled its intended role within the broader portfolio.
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Rising tensions in the Middle East have renewed investor interest in volatility ETFs, which are designed to increase in value as expected market volatility rises. While VIX-linked ETFs are well known, they focus on equities and overlook fixed-income
