Certificates based on implied volatility indices open up new opportunities-
Customer profile: The product can be offered to a global investor acting in markets where a volatility index is established (e.g. Germany and America)
The past few months have seen a steady rise in the range of products which are based on implied volatility indices and therefore offer an opportunity to invest in volatility. Volatility indices are calculated by stock exchanges or banks, with the two best-known in relation to share indices being the VDAX, which measures volatility on the DAX German equity index, and the VIX, which relates to the Standard & Poor?s 500.
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