Investors Have Never Been More Short Volatility Futures
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Bets against volatility are back.
Never mind strategists warning of a potential VIX rebound, or historical data showing the index tends to jump the most in August. The number of short positions on VIX futures has hit a fresh peak, and an exchange-traded fund that benefits when volatility falls just saw its biggest weekly inflows since June, following three weeks of withdrawals. That’s even as the CBOE Volatility Index hovers within 1 point of its record-low close.