UVIX Reverse Split October 11 th, 2023

Volatility Shares will execute a 1:10 reverse split for UVIX, effective at market open October 11th, 2023 (press release). Since its inception in March 2022, UVIX’s decay rate has averaged around 16% per month.  Some investors anticipate significant price moves in UVIX motivated by a reverse split.  I’m not in that camp.  UVIX’s price is tied to VIX futures’ price, which couldn’t care less about UVIX’s …

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Benn Eifert’s Twitter Threads On Finance

Benn Eifert’s contributions to the field of finance are impressive but can be hard to find. I’ve compiled links to some of his Twitter tweets below. I have also collected links to his blog posts and podcasts. Tweets Twitter Thread Date PDF unroll (no ads) Keywords Derivative Notional and Counterparty Risk To briefly reiterate, on derivatives notional and counterparty risk. Dec 6, 2022 Derivatives notional …

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Why Arbitrage is Essential For Exchange Traded Products

Arbitrage processes associated with Exchange Traded Products are normally invisible to investors but are essential for ETPs to trade as they are intended.  This post describes these arbitrage processes in detail and explains how they can (and have) gone wrong.  Exchange Traded Products (ETPs) enable stock-like trading of collections of securities that would be more difficult, or impossible to trade directly.  For example, it’s not …

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