Record Short VIX Notes Sounding Alarm to Deutsche Bank
This article is for subscribers only.
Securities that usually gain value as the U.S. stock market gets calmer have never been more popular with investors. That concerns strategists at Deutsche Bank AG.
A combination of investor inflows and declining equity volatility has pushed the market value of the VelocityShares Daily Inverse VIX Short-Term ETN to about $1.2 billion and sent the ProShares Short VIX Short-Term Futures ETF to $564 million, data compiled by Bloomberg show. Both reached records last week.