One of the most important risk factors when trading financial assets and their derivatives is the actual and historical volatility of the underlying asset that impacts the implied volatility used to ...

OptionMetrics , the leading historical options data and analytics provider for institutional investors and academic researchers worldwide, ...

Implied volatility is the most important concept and tool in options trading. It gives you a simple metric to determine how expensive or how cheap an option is relative to other similar options. To ...

IV spikes hint at traders to anticipate an IV crush With the new year approaching, many traders are reassessing their strategies and preparing for market conditions ahead. While implied volatility (IV ...

Discover how the Cboe SKEW Index assesses market volatility and perceived tail-risk in the S&P 500, despite its limitations ...

Volatility can be an option trader's best friend or worst enemy, depending on how it's approached. High implied volatility ...

Volatility is making a come-back. For 2013, and the first three quarters of 2014, volatility was so muted it reached levels not seen since the pre-crash levels in 2006 and 2007. Then we had the ...

This paper studies the forecasting power of uncertainty emanating from the commodities market, energy market, economic policy, and geopolitical threats to the CBOE Volatility Index (VIX). In this ...

Craig Anthony, CFA, is the founder and CEO of the Craig Anthony Group LLC. He is also an Investopedia contributor and published author. Dr. JeFreda R. Brown is a financial consultant, Certified ...

One of the most common metrics used when trading options is the Implied Volatility Percentile. IV Percentile is a measure of implied volatility where current implied volatility is compared to the ...