TVIX - TVIX: Sell Sell Sell

For the first time in several weeks, returns of the VelocityShares Daily 2x VIX Short-Term ETN (TVIX) have seen a bit of relief from its relentless selloff, with share popping by around 2% over the last week in conjunction with a rally in the VIX. In this article, I will argue that the odds strongly favor selling TVIX due to both its methodology as well as the current heightened levels of volatility.

The Troublesome Methodology

This weekend I wrote an in-depth piece in which I argued that the volatility ETNs (including TVIX) are

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