- As of Nov 4, 2026, ETFIQ places 9 alternatives ETFs in volatility, among 90 alternatives ETFs, and ETFIQ tracks 26 equity hedged funds beside them.
In plain words
A volatility ETF takes positions tied to how much the market swings, usually through futures on a volatility index. When markets are calm, volatility is low, and when they fall fast, it jumps. These funds aim to gain when swings grow.
ETFIQ places 9 funds in volatility. The measures are weekly correlation and beta with the S&P 500, and what each fund did in the weeks the index fell. A volatility fund often has a negative correlation with stocks.
Holding volatility futures has a cost: they are rolled forward, and in calm markets the roll tends to lose value. Over long periods such funds can decay. ETFIQ shows the full-year weekly record, never a short window alone.
Questions
- Why does a volatility fund decay?
Rolling futures in calm markets tends to cost value.
- Is it correlated with stocks?
Often negatively. ETFIQ shows the weekly correlation over a year.
- How many volatility funds are there?
9 as of Nov 4, 2026.
Not investment advice.