Vol-sellers beware. That's the message from Natixis Global Asset Management’s Brett Olsen and Nicholas J. Elward, in their latest note, as they warn "it stands to reason that the market will see a reversion to the mean and find the VIX trading in the 20+ range before too long."
As CS' Josh Lukeman notes, the degree of hedging we’re seeing as we go higher illustrated in the CS Fear index (now at all-time highs) suggests institutional investors are not believers in the equity rally
CSFB's "Fear" Indicator has never been higher...
For a succinct explanation of what this far less popular indicator captures we use a handy definition by SentimentTrader:
EXPLANATION: