The S&P/B3 Ibovespa VIX will measure the 30-day volatility of options from Brazil's equities benchmark Bovespa, the companies said in a joint statement.
Volatility indexes measure the so-called implicit volatility of an equity market, and are used by investors as a gauge of market sentiment and as a leading indicator for price moves.
"Brazil's options market hit a new level in terms of volume traded, which allowed the launch of this index and made it possible to bring a methodology already used in other parts of the world to the local market," B3's head of indexes, Henio Scheidt, said in the statement.
(Reporting by Patricia Vilas Boas; writing by Andre Romani; Editing by Leslie Adler)
