Volatility Strategies

Top Buysiders: Build Dispersion, VIX/MSCI Liquidity, Variance, Bond/Commodity Vol Products

Jun 22, 2017

Listed dispersion, greater liquidity in VIX Weeklies and MSCI products and non-equity volatility derivatives are the top product desires of portfolio managers globally. They also want to see a wider introduction of Asian equity vol futures, better listed variance liquidity and more customization of listed FLEX options, as detailed in the groundbreaking EQDerivatives Market Mapping 2017 Report. The asset managers, hedge funds, pension funds and private banks that took part in the Market Mapping project control assets of US$ 1.7 trillion. They are exceptionally bullish on derivatives — the group as a whole predicts a 33% increase in their derivative usage. Dividend futures and VIX-based products are set for even stronger growth — the group forecasts a 42% increase in the use of dividend futures (OTC and listed), according to the Report which is being released tomorrow.

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