How SVOL and ZVOL Present Different Strategies to Profit from Volatility

It's for investors looking for different types of yield, however we're getting it.

This is a big thing in the ETF industry now.

Um, so essentially they're just selling V, but to different degrees.

And if you remember back in the day, there was like XIV, the product's not around anymore, but this is what how this trade got really popular.

So, SVA is a little the yield, it's a little bit lower, meaning that it's not doing a one for one inverse of the VIX.

It's doing anywhere from only 25 to 30% of it.

So it'll be a little bit uh less volatile.

It's also using options to kind of mitigate that volatility.

SVA is a minus one of the midterm VIX.

So there's different structures, right?

There's really short-term, there's midterm and long-term.

This is just sort of targeting the middle.

I think one of the reason for that was the XIV issue with the really short-term ones.

It tends to be very volatile than the middle of the curve.

So it wanted to sort of mitigate that.

So you're going to they're just targeting the middle of the curve.

So, it's just a little bit different strategies.

Uh, you're going to get a lot more juice in SV just because it's not using any options, any other kind of like V mitigating strategies.

Um, you know, it's a tough one.

I think if you want the most pop, you're going to have to get ZV cuz these are um but for someone looking for more steady income, a little bit less volatility, SV is probably a winner.

And just for that, I'm probably going to give it I'm going to give this one to ESO just cuz I think it's a little bit more of a predictable return path compared not to compared to like stocks or something, but just between the two.

Uh it's a little bit more predictable.

Uh and so I think you have less of an issue of any sort of outsized event.

So I will give this one to the simplified product SF