AccuShares Investment Management has launched the first Exchange Traded Fund (ETF) designed to track the CBOE Volatility Index (VIX). The fund is the first of what AccuShares expects will be a suite of ETFs.
The future offerings will be designed to provide exposure to indices which utilise the S&P GSCI spot methodology for key alternative asset classes.
The AccuShares Spot CBOE VIX ETF features Up Class Shares (VXUP) and Down Class Shares (VXDN) are now trading on The Nasdaq Stock Market. The AccuShares ETF's unique product design, defined by three patents, address what the firm believes to be critical issues that have affected volatility ETP performance in the past and marks the first time that investors will have actual exposure to changes in the spot price of the VIX. With VXUP, investors can seek to capitalise on increases in the VIX, while VXDN seeks to capitalise on decreases in the VIX. The AccuShares Spot CBOE VIX ETF is designed to provide straightforward tax reporting through Form 1099s.
"We are excited to launch our first fund and are now focused on bringing a new level of innovation to the ETP marketplace," says Jack Fonss, Chief Executive Officer and co-founder of AccuShares. Fonss is a 20-year industry veteran and chief architect of AccuShares' innovative product design. "AccuShares set out to challenge conventional wisdom about how investors can seek to gain exposure to volatility and other hard-to-access asset classes. We spent two years researching and developing an ETF structure that we believe levels the investing playing field and brings complete transparency to the ETF transaction.”
"We think an ETF should do what it says it does, and with AccuShares, investors, for the first time, can get accurate 'spot' exposure to the CBOE Volatility Index," says Robert Whaley, the "Father of the VIX" and the Valere Blair Potter Professor of Management at the Owen Graduate School of Management at Vanderbilt University. AccuShares provides all investors with ETFs that are based on an objective underlying index – not a manager's ability to replicate it."