{"id":18414,"date":"2012-03-28T10:45:38","date_gmt":"2012-03-28T14:45:38","guid":{"rendered":"http:\/\/www.thedisciplinedinvestor.com\/blog\/?p=18414"},"modified":"2016-09-20T19:20:05","modified_gmt":"2016-09-20T23:20:05","slug":"in-the-wake-of-tvix-and-gaz-a-list-of-the-etfs-with-highest-premiumdiscount","status":"publish","type":"post","link":"https:\/\/thedisciplinedinvestor.com\/blog\/2012\/03\/28\/in-the-wake-of-tvix-and-gaz-a-list-of-the-etfs-with-highest-premiumdiscount\/","title":{"rendered":"In The Wake of TVIX and GAZ – A List Of The ETFs With Highest Premium\/Discount"},"content":{"rendered":"

As we saw with last week’s plunge in the VelocityShares Daily 2x VIX (TVIX)<\/strong><\/a>, investors should not necessarily judge a book buy its cover. Not all ETFs or Mutual Funds are always what their name implies. <\/p>\n

TVIX is supposedly designed to:<\/p>\n

Seeks to replicate, net of expenses, the returns of twice (2x) the daily performance of the S&P 500 VIX Short-Term Futures index. The index was designed to provide investors with exposure to one or more maturities of futures contracts on the VIX, which reflects implied volatility of the S&P 500 index at various points along the volatility forward curve. The ETNs are linked to a multiple (2x) of the daily return of the index and do not represent an investment in the VIX.<\/p><\/blockquote>\n

While that was the case as Credit Suisse kept creating shares under their usual create\/redemption process \u00a0 – all that changed when then stopped the creation of new shares in late February.<\/p>\n

Follow @andrewhorowitz<\/a>