An Overview of Parametric's Volatility Risk Premium Solutions

Parametric has been making complex instruments simpler for investors to access for over 30 years and strives to be an innovative force in providing systematic and cost-effective option-based solutions. We currently manage more than $13.2 billion in VRP solutions. Our Volatility Risk Premium (VRP) strategies aim to provide a significant and persistent source of return without the use of leverage or market forecasts by harvesting the VRP - a well-researched phenomenon based on the discrepancy between the implied and realized volatility of equity-index options.

Investment advisory services offered through Parametric Portfolio Associates^® LLC ("Parametric"), an investment adviser registered with the U.S. Securities and Exchange Commission. Parametric (National Registration Database No. 42850) is also registered as a Portfolio Manager with the securities regulatory authorities in certain provinces of Canada with regard to specific products and strategies. Parametric provides advisory services directly to institutional investors and indirectly to individual investors through financial intermediaries. The information on this website does not constitute an offer to sell, or a solicitation of an offer to purchase, securities in any jurisdiction to any person to whom it is not lawful to make such an offer. Investing entails risks and there can be no assurance that Parametric (and its affiliates) will achieve profits or avoid incurring losses. All investments are subject to potential loss of principal. Parametric does not provide tax or legal advice. Prospective investors should consult with a tax or legal advisor before making any investment decision. Please refer to the Disclosure page for important information about investments and risks.

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An Overview of Parametric's Volatility Risk Premium Solutions

Managing Volatility

Volatility Risk Premium and Financial Distress

Chapter One - What Is The VRP?