The Causal Relationship between the S&P 500 and the VIX Index

Critical Analysis of Financial Market Volatility and Its Predictability

  • FlorianĀ Auinger

Part of the BestMasters book series (BEST)

Table of contents

  1. Front Matter
    Pages I-XIII
  2. Florian Auinger
    Pages 1-3
  3. Florian Auinger
    Pages 4-16
  4. Florian Auinger
    Pages 17-18
  5. Florian Auinger
    Pages 19-32
  6. Florian Auinger
    Pages 33-36
  7. Florian Auinger
    Pages 37-52
  8. Florian Auinger
    Pages 53-63
  9. Florian Auinger
    Pages 64-66
  10. Florian Auinger
    Pages 67-68
  11. Back Matter
    Pages 69-91

About this book


Florian Auinger highlights the core weaknesses and sources of criticism regarding the VIX Index as an indicator for the future development of financial market volatility. Furthermore, it is proven that there is no statistically significant causal relationship between the VIX and the S&P 500. As a consequence, the forecastability is not given in both directions. Obviously, there must be at least one additional variable that has a strong influence on market volatility such as emotions which, according to financial market experts, are considered to play a more and more important role in investment decisions.


  • Risk and Emotions
  • Financial Market Volatility
  • Behavioural Finance
  • VIX Index

Target Groups 

  • Researchers and students in the fields of risk management, portfolio management and investment banking
  • Practitioners in these areas

The Author

Florian Auinger wrote his master thesis at the University of Applied Sciences in Steyr, Upper Austria and is currently working in the fields of mergers & acquisitions.


Behavioural Finance Investment Banking Mergers & Akquisitions Portfolio Management Risk Management

Authors and affiliations

  • FlorianĀ Auinger
    • 1
  1. 1.Financial AdvisoryDeloitteLinzAustria

Bibliographic information

  • DOI
  • Copyright Information Springer Fachmedien Wiesbaden 2015
  • Publisher Name Springer Gabler, Wiesbaden
  • eBook Packages Business and Economics
  • Print ISBN 978-3-658-08968-9
  • Online ISBN 978-3-658-08969-6
  • Buy this book on publisher's site