Yesterday afternoon I had the honor of presenting a 30 minute webcast on Russell 2000 Volatility Index (RVX) futures and option trading which has recently been launched at CBOE and the CBOE Futures exchange. We discussed the index, how the futures pricing seems to replicate the behavior of the more established VIX curve, and even covered an RVX Option trade that came into the VIX pit.
The Russell 2000 (RUT) index represents small cap and mostly companies that focus their business activity inside the United States. The S&P 500 (SPX) on the other hand is a more global index as the majority of the components are large multinational companies. Since different economic trends impact the RUT and SPX, RVX and VIX behave a little differently from time to time.
If you missed the webcast, don’t fret, a recording will be available on Friday and now that college football is behind us (for about a month) you can watch at your leisure on Saturday. Finally, this presentation was the first of three (free) volatility market webcasts that are being offered by CBOE this week. Today (Wednesday) we will be discussing the CBOE Short-Term Volatility Index (VXST) from 3:30 to 4:00 Chicago time and tomorrow (Thursday) we will finish the three part series with a discussion of extended trading hours for VIX futures. You can still sign up for the remaining two webcasts at –