When the S&P 500 plunges, the VIX typically spikes as investors panic-buy insurance (options).
Since the index itself isn't tradable, Wall Street created "proxies." buying vix stock
Just like you can’t buy the "average temperature" in Florida, you can't buy the VIX. When the S&P 500 plunges, the VIX typically
What is the VIX Volatility Index and How Do You Trade it? - IG - IG Unlike a stock that can go
Unlike a stock that can go to zero or the moon, the VIX is "mean-reverting"—it almost always eventually returns to its long-term average (historically around 19–20). 2. How People Actually "Buy" It
However, you can trade the sentiment it represents. Here is the reality of "investing" in the market's fear. 1. You Aren't Buying a Stock, You’re Buying Expectations
The "Fear Index" Unlocked: What "Buying VIX" Actually Means If you’ve ever seen a "Buy VIX" headline during a market crash, you might have rushed to your brokerage app only to find... nothing. You can’t actually "buy" VIX stock. The Cboe Volatility Index (VIX) is a mathematical calculation, not a company.