The High Risk Of Low Vol: Complacency, Moral Hazard, & Anxiety Attacks

Right, so low vol. is a hot topic these days. Maybe you noticed. In fact, persistently (and artificially) suppressed vol. found its way into a prominent story in the Journal this week called "The Snowballing Power Of The VIX." The subheading reads as follows: Created to track expectations of volatility, it has spawned a giant trading ecosystem that could magnify losses when turbulence hits. That "giant trading ecosystem" is comprised of over 40 VIX ETPs with an aggregate AUM of just under