Thomson Reuters Realized Volatility Index
Today, Thomson Reuters Realized Volatility Index is a topic of great relevance and interest to a large number of people. Its impact covers various areas, from daily life to technological and scientific development. In this article we will delve into the different aspects that make Thomson Reuters Realized Volatility Index such a relevant topic today, exploring its origins, its evolution over time and its influence on society. From its importance in history to its relevance in popular culture, Thomson Reuters Realized Volatility Index is a topic that leaves no one indifferent, and that deserves to be analyzed in detail to understand its true scope in today's world.
The Thomson Reuters Realized Volatility Index is a stock market index from Thomson Reuters Indices. It measures and forecasts realized volatility at a variety of time horizons – from one day to several months.
Function
This index can be used to construct volatility curves with a variety of time horizons. It can also be used to construct the skew necessary for pricing out-of-the-money options. Its forecast ability allows realized volatility to be known a few days to a month in advance. Realized volatility can be considered a more useful measure for market participants than implied volatility (IV) measures.
History
The index was first introduced during the webcast The Long & Short of It – New Measures of Volatility on September 23, 2009, by Andrew Clark, Chief Index Strategist at Thomson Reuters Indices.
