S&P/B3 Bovespa VIX Index

S&P/B3 Bovespa VIX Index Future

• The product

  The S&P/B3 Bovespa VIX Index seeks to measure the implied volatility in the Brazilian equity market. It is a real-time index that reflects investor sentiment regarding the expected volatility in the benchmark for equities in Brazil, the Bovespa Index (Ibovespa B3).

  The S&P/B3 Bovespa VIX Index Futures Contract enables the market to trade future expectations of volatility in the Brazilian market, offering the ability to diversify a portfolio as well as hedge, mitigate, or capitalize on broad market volatility through a simple instrument.

• Specifications

  Underlying	S&P/B3 Bovespa VIX Index
  Ticker	VIX
  Contract size	S&P/B3 Bovespa VIX Index Futures contract multiplied by the index point value in Brazilian Reals (BRL), each point BRL 100.00
  Quotation	Index points points up to two decimal places
  Tick size	0.01 index point
  Round-lot	1 contract
  Last trading day	The expiration date
  Expiration date	Thirty calendar days prior to the Wednesday nearest to the 15th of the month immediately following the month in which the contract expires.
  Contract months	All months
  Settlement on expiration	Cash settlement

• Benefits
  • Direct access to Ibovespa’s implied volatility
  • Instrument for hedging strategies against market downturns and volatility spikes
  • Simplification of strategies executed through other instruments
  • Risk management for events with higher market uncertainty
  • Portfolio diversification