Volatility Index (VIX)

The VIX is the stock market's “fear gauge”: an annualized measure that typically expresses expected volatility in the S&P 500 index over the next 30 days.

See Full Glossary >

What is the Volatility Index (VIX)?

Think of the VIX as the stock market's “fear gauge.” Created by the Chicago Board Options Exchange (CBOE), the VIX is an annualized measure that typically expresses expected volatility in the S&P 500 index over the next 30 days. It reflects investor sentiment and market stress.

A normal level for the VIX is between 13-19. A VIX level of 20 or above indicates that investors expect higher-than-normal volatility over the next 30 days. A high VIX implies a risky market and suggests investors are anxious. VIX values below 20 typically indicate more stable, less stressful markets.

Finimize