Binary Tree Analytics 5.91K Followers

Summary

UVIX, the 2x Long VIX Futures ETF, surged over 28% amid extreme volatility but is unsuitable for long-term holding.

UVIX is best used as a short-term trading or hedging tool, not a buy-and-hold investment, due to severe value erosion.

Beta slippage and the roll effect in contango markets drive persistent losses, with UVIX down over 99% in three years.

We believe in selling UVIX after major volatility spikes, as such gains are fleeting and decay quickly.

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There are days in the market when volatility is extreme, just like today, Friday, October 30, 2026. As we are writing this article, the S&P VIX Index (VIX) is up over +23%, and leveraged VIX futures products

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Binary Tree Analytics 5.91K Followers

With a banking trading background, Binary Tree Analytics ('BTA') aims to provide transparency and analytics in respect to capital markets instruments and trades.…