The Causal Relationship between the S&P 500 and the VIX Index
Download or Read eBook The Causal Relationship between the S&P 500 and the VIX Index PDF written by Florian Auinger and published by Springer. This book was released on 2015-02-13 with total page 102 pages. Available in PDF, EPUB and Kindle.
| Author | : Florian Auinger |
| Publisher | : Springer |
| Total Pages | : 102 |
| Release | : 2015-02-13 |
| ISBN-10 | : 9783658089696 |
| ISBN-13 | : 3658089695 |
| Rating | : 4/5 (96 Downloads) |
Book Synopsis The Causal Relationship between the S&P 500 and the VIX Index by : Florian Auinger
Book excerpt: Florian Auinger highlights the core weaknesses and sources of criticism regarding the VIX Index as an indicator for the future development of financial market volatility. Furthermore, it is proven that there is no statistically significant causal relationship between the VIX and the S&P 500. As a consequence, the forecastability is not given in both directions. Obviously, there must be at least one additional variable that has a strong influence on market volatility such as emotions which, according to financial market experts, are considered to play a more and more important role in investment decisions.
