Instrumenty finansowe i strategie inwestycyjne oparte na zmienności – autorskie strategie i produkty finansowe neutralne rynkowo

The paper presents a comprehensive introduction to volatility trading, from explaining the definition of volatility, through simple strategies for getting exposure to volatility, to advanced ETN products constructed from derivatives on the VIX index. The theoretical part discusses the idea of volati...

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Bibliographic Details
Main Authors: Iwona Sroka, Kamil Seliga
Format: Article
Language:English
Published: University of Warsaw 2021-01-01
Series:Studia i Materiały
Subjects:
Online Access:https://press.wz.uw.edu.pl/sim/vol2021/iss1/14/
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Summary:The paper presents a comprehensive introduction to volatility trading, from explaining the definition of volatility, through simple strategies for getting exposure to volatility, to advanced ETN products constructed from derivatives on the VIX index. The theoretical part discusses the idea of volatility trading derived from the assumptions of the Black-Scholes option valuation model. The remainder of this paper presents derivatives that provide exposure to volatility along with the opportunities and pitfalls faced by investors in this market. The practical part presents the proprietary approach to creating investment strategies based on the anomalies of implied volatility of the S & P500 and model portfolios built of products from the Volatility ETP segment and the ETF for the S & P500 index, dedicated to cautious investors, which can be an alternative to mixed equity and bond portfolios.
ISSN:1733-9758