VIX Faces Challenge From Trading Robots Unleashed by Bats
- Exchange introduces index that's similar to CBOE's benchmark
- Bats argues its automated product is more robust than VIX
Myers: Nothing Better for IPO's Than Downward VIX
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The dominant gauge of investor fear -- the VIX -- is about to face new competition.
Bats Global Markets Inc. is introducing its own volatility benchmark for U.S. stocks called the Bats-T3 SPY Volatility Index, an attempt to muscle in on CBOE Holdings Inc.’s VIX territory. Dubbed SPYIX (pronounced "Spikes") by its creators, the index tracks the price of options linked to the world’s biggest exchange-traded fund, the SPDR S&P 500 ETF Trust.