Volatility of Volatility (VoVol) Premium Calculator

Estimate the volatility-of-volatility premium embedded in VIX options. VoVol determines the cost of options on VIX: higher VoVol = steeper VIX option smile and more expensive VIX calls.

Principal ($)
Annual Rate (%)
Years
Compounding / Year
$ Finance Disclaimer: These calculators are for educational and illustrative purposes only. Results do not constitute financial advice. Consult a licensed financial advisor before making investment or borrowing decisions.
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How to Use

Enter the values for the scenario you are assessing. Estimate the volatility-of-volatility premium embedded in VIX options. VoVol determines the cost of options on VIX: higher VoVol = steeper VIX option smile and more expensive VIX calls. Use the vovol premium result to inform your calculation.

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Frequently Asked Questions