### The Company

RealVol has developed a number of RealVol Instruments and RealVol Indices based on realized volatility as defined by the RealVol Formulas.

### The Exchange

Once approved by the SEC, BOX
Options Exchange is planning to list
RealVol SPY Options under an
exclusive license with RealVol.

### Realized Volatility

Realized volatility, as defined by the RealVol Formula, measures the daily movement of the underlying asset regardless of direction. It is functionally different from instruments based on implied volatility.

### The Product

RealVol SPY Options are standard exchange-traded options that cash settle to the RealVol SPY Index.

### RealVol Indices

While there are many RealVol Indices, the one most relevant for this page is the RealVol SPY Index.

### RealVol Formula

At the heart of the RealVol Indices is the RealVol Formula. It is a simple, modified standard deviation formula that sets the degrees of freedom to zero, the mean to zero, and the annualization factor to a constant 252 trading days.

### RealVol SPY Indices

These indices come in two forms:

- A daily version
- A real-time version

The resulting values for both
versions are the same at the close of
trading each day.

### RealVol Daily SPY Index

The RealVol Daily SPY Index is based on a 21-trading-day (approximately 1-month), rolling, realized volatility of the daily closing price on the primary market of the SPDR^{®} S&P 500^{®} ETF (symbol SPY) on the
primary market at NYSE Arca. This index is used to settle all RealVol SPY Options.

### RealVol Real-Time SPY Index

The RealVol Real-Time SPY Index uses the current day's real-time SPY price to estimate the RealVol Daily Index throughout the trading day.

### Contract Types

RealVol Options will include in-the-money,
at-the-money, and out-of-the-money strikes and will expire every Friday.

### Uses

RealVol Options will allow market participants to hedge against, invest in, or trade on realized volatility. They will be useful particularly for hedging standard options, spreading with implied volatility products, and enhancing an S&P 500 index portfolio.