Volatility Views 272: How Do Europeans Trade Volatility?

Volatility Review: A full overview of CBOE RMC Europe.

The numbers:

• VIX Cash - a high of 11.10 on Monday.
• VVIX - 92
• CBOE Skew Index - 142.74

Russell's Weekly Rundown:

• VIX Options - ADV: 813k, VIX Call/Put 3.1; Total 13.7m (10.4m Calls, 3.28m Puts).
• OIV - 26.34

Volatility Voicemail: Listener Questions and Comments

Options question of the week:

First #Harvey, then #Irma, now #Jose & more. We prep houses/cars/family for #disasters. How do you prep your portfolio?

• Get Long $VIX/$VXX/$UVXY
• Go To Cash/T-bills
• Buy Index/Stock Puts
• "Risk Assets" - Gold, etc.

Listener Questions:

• Question from Volbug: You mentioned on the show that our twins (XIV & SVXY) could go to zero if there is a big enough spike in vol. Would you and the crew be able to take a guess at what level of vol action would result in such a occurrence? Second question is, wouldn't such a spike send equities out the window also? As always, thanks for the show.
• Question from PBiggers - Time to go long VIX? Sell some EFX premium? Some skew in there. IV is at a 52 wk high. Liquidity is sketchy.

Crystal Ball: Your prognostication headquarters

Last week:

• Mark L. - 11.5
• Mark S. - 11.01
• Russell - 12.25

This week:

• Mark L. - 9.8
• Mark S. - 10.5
• Russell - 11.11