Financial Times FT.com

Ways to turn volatility into opportunity

By Jeremy Grant

Published: July 22 2008 16:58 | Last updated: July 22 2008 16:58

When the Chicago Board Options Exchange this month launched the world’s first volatility index on crude oil, it was a sign that the world’s largest options exchange had spotted a timely opportunity.

Its Volatility Index – or Vix, as it is known to many in the markets – has long been a global benchmark for measuring and trading on the volatility of stock market indices such as the S&P 500.

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