Updated March 17, 2025
The VIX, Market Cycles, and Ray Dalio’s Principles: Volatility Through a Macro Lens
The VIX, Market Cycles, and Ray Dalio’s Principles: Volatility Through a Macro Lens
The VIX, Market Cycles, and Ray Dalio’s Principles: Volatility Through a Macro Lens
Joseph Gradante, Allio CEO
The Macroscope
The VIX, Market Cycles, and Ray Dalio’s Principles: Volatility Through a Macro Lens
Wall Street’s fear gauge is not just an interesting indicator, but a practical tool to help investors manage risk
Ray Dalio’s principles and macro insights apply to VIX analysis
By studying historical bear markets and corrections, you can gain an edge and prepare for the next stock market decline and subsequent upswing
The Cboe Volatility Index (VIX) is Wall Street’s go-to risk barometer. Known as the market’s “fear gauge,” the VIX is a quantitative index that uses S&P 500 option prices to arrive at an implied volatility level over the next 30 days. In short, the more expensive the options are, the higher the VIX. It’s not a perfect indicator, but it offers investors a sense of how much the S&P 500 might move up or down in the near term. Put another way, buyers and sellers of stocks and commodities are willing to pay more to protect themselves from price volatility by paying more for options than previously.
This risk measure is also misunderstood by many market participants. It’s important to recognize how the VIX fits into macro investing and global markets. We can do more than analyze its peaks and valleys; we can contextualize it within Ray Dalio’s principles, particularly those related to cycles, risk management, and decision-making when the heat is on across asset classes.
Let’s explore the VIX, what it signals, and how Ray Dalio’s principles can put this sentiment indicator in its proper place.
What is the VIX?
The VIX is a real-time market estimate of expected volatility of the S&P 500 (SPX). It’s calculated using the midpoint of SPX option bid/ask quotes and provides a clear measure of how much the market thinks the SPX will fluctuate over the ensuing 30 calendar days.
So that’s how the Cboe explains it. For everyday investors, the VIX has become a somewhat common index—when it spikes, we all know that usually corresponds to a bad day for US stocks. When the VIX is tranquil, under 15, it is mentioned just in passing on financial TV.
But why does the VIX jump when market anxiety rises? It’s all about the value of an option. When uncertainty rises, like during the COVID Crash or the 2008 Great Financial Crisis (GFC), stock prices rise and fall tremendously. In such instances, the value of the right to buy or sell the SPX at a pre-determined price shoots up since there’s a better chance the option can turn “in the money” before an expiration date. When there’s low volatility, many options will simply expire worthless.
Generally, volatility increases when the stock market falls; equities often increase like an escalator and drop like an elevator. During the drops, investors are willing to pay more for protection, translating into higher implied volatility.
The VIX is useful for figuring real-time fear in the US stock market, but it’s not a perfect indicator of what individual investors believe. There are times when other sentiment readings show dismal feelings about stocks, all while the VIX is low. Usually, though, if the VIX is high—above 30—that corresponds to bearish AAII Investor Sentiment Survey scores and a CNN Fear & Greed Index that has its needle swung way over the left (indicating high fear).
Historical data show some signal to be gleaned from the VIX—it's not just noise. According to performance data since 1990, the best S&P 500 returns have come when the VIX Is either low (under 18) or high (above 30). The danger zone, according to history, is when the VIX hovers in the 20s.
During those instances, markets have turned uneasy, but panic has not set in yet. Often amid corrections (10-15% declines), a wash-out moment is needed to reset intermarket conditions and set the stage for the next leg up.
S&P 500 Forward Returns Are Best When the VIX is Either Low or High
Source: Allio
The VIX is just one indicator in an investor’s toolkit. Ray Dalio said it best, “Embrace reality and deal with it.”
Amidst extended corrections and bear markets, much ink is spilled dissecting the VIX and tracking its every move, but it’s just traders’ collective best guess as to future market turbulence. Like so many macroeconomic clues, whether it is high or low isn’t the primary point; it’s what it means for your portfolio, other asset classes, and the global economy writ large.
Volatility, Market Cycles, and Dalio’s Economic Machine
The VIX fits into Dalio’s framework for understanding markets via cycles. Short-term debt cycles, long-term debt cycles, and overall productivity are often reflected in asset price trends, liquidity, and risk premiums. When the VIX is elevated for a prolonged period, it usually means we are in a particularly macro regime that’s either in flux or indicative of disruption.
High VIX Environments
Market context: Credit crunch, market panic, liquidity crises
Macro signals: Tightening financial conditions, falling asset prices, deleveraging
The Big Cycle: Rises near the top, peaks during the decline
High VIX environments occur in the thick of credit crunches (the GFC), market panics (the COVID Crash), and liquidity crises (the 1998 Long-Term Capital Management blowup). In such instances, a VIX surge is coincidental—as conditions change, the VIX moves in real-time. Financial conditions tighten, risk assets fall in value, and big market players de-lever.
During these periods, Dalio’s principles around maintaining balanced risks—preserving upside potential while limiting downside exposure—come into sharp focus. Traders should consider reducing the size of their positions, remain mindful of a wide range of potential market outcomes, and closely monitor near-term catalysts that could either amplify volatility or help rein it in.
A high VIX environment signals market stress and can wipe out firms that are caught either flat-footed on risk management or simply face “wrong-way” risk in markets (e.g., when the volatility increases, they face increasing losses). We saw that when Bear Stearns was on the brink of collapse in March 2008 before it was salvaged by JPMorgan. It occurred just a handful of months later with Lehman Brothers’ bankruptcy. And during the rapid interest-rate rise coming out of COVID, UBS was coerced into buying Credit Suisse.
Low VIX Environments
Typical context: Abundant liquidity, rising asset prices, financial complacency
Macro signals: Loosening financial conditions, rising leverage, speculative excess
The Big Cycle: Falls during the late decline, troughs during the rise
A low VIX broadly corresponds to bull markets in stocks. A stair-step higher in the value of risk assets, stable monetary and fiscal policy, and confidence in the overall economy breeds tranquility across the global marketplace. Companies, particularly banks, lever up their books while credit is cheap. Eventually, complacency sets in, and investors forget how quickly volatility can resurface if just one or two macro shocks occur.
Dalio would describe this as the point where the debt cycle has gone too far, and asset prices have risen beyond fundamentals. A low-VIX environment can last for many years, but it can end with a macro tsunami.
Dalio’s Big Cycle
Source: Principles for Dealing with the Changing World Order: Why Nations Succeed and Fail
Building a Dalio-Inspired Volatility Framework
For modern macro investors, combining VIX analysis with Dalio’s cycle framework creates a useful roadmap:
Phase | Credit Conditions | VIX Level | Dalio Principle |
Early Cycle | Expanding | Moderate Falling | Add risk, expect higher returns |
Mid Cycle | Neutral | Low | Balanced risk, prepare for volatility |
Late Cycle | Tightening | Moderate Rising | Hedge, hold uncorrelated assets |
Crisis | Contracting | High | Rebalance, add quality assets, prepare for a stock market bottom |
Principles Applied: Navigating Volatility Using Dalio’s Playbook
Ray Dalio built and grew Bridgewater Associates not by avoiding volatility, but by effectively managing risk at all points within The Big Cycle. The keys to successful portfolio management include a few core tenants that we can pull straight from Dalio’s works:
“Recognize that the biggest threat to good decision-making is harmful emotions.”
Whether at the office or in markets, don’t let emotions drive decisions. Follow a process designed to help you make informed, risk-centered choices that minimize upside and leverage upside. In the equity space, when volatility spikes, it creates emotional noise as investors panic, react to each news headline, and ditch their long-term plans. It is at periods like these when you must heed Dalio’s wisdom.
Of course, you don’t have to wait for the VIX to propel to 50+. Develop a strategy today for how you will handle volatility tomorrow. Are you ready to “buy the dip,” for lack of a better phrase? Do you have enough cash on hand to meet daily living expenses? Have you rebalanced your allocation to your target risk and return objectives lately? Is this something you can handle yourself or should you work with a professional? These are actions to take amid the calm times so that you are less susceptible to making emotional decisions when the fear gauge rises.
“Making a handful of good uncorrelated bets that are balanced and leveraged well is the surest way of having a lot of upside without being exposed to unacceptable downside.”
The next Dalio truism comes from Principles: Life and Work. It gets to the heart of what we do at Allio—helping investors construct and manage a dynamic macro portfolio to weather a variety of market conditions. Holding uncorrelated assets can bring down an allocation’s long-term volatility. Stocks, bonds, interest-earning cash, commodities, real estate, gold, or cryptocurrency are all vehicles by which strong risk-adjusted returns can be achieved.
That sounds perfect on paper, but in practice, we know that correlations often gravitate toward one when fear climaxes. October 2008 and March 2020 are prime cases where it was a “sell first, ask questions later” playbook, but that is when cash (liquidity) is king. In future panics, gold, bitcoin, or oil could be treated as safe havens.
The 2022 bear market featured fantastic price strength in oil, for instance. Gold performed well during the GFC despite a sharp drop in October 2008. Treasurys turned into alpha-generators in ‘08 and 2020.
These intermarket relationships tie in with Dalio’s Big Cycle lattice. It’s key to spot clues on where we are in the cycle, not just whether the VIX is high or low. You can learn more about that in our Macro Masterpiece.
“Knowing how to deal well with what you don’t know is much more important than anything you know.”
Long-term success in markets is simple to achieve for those who are prepared to handle volatility, corrections, and protracted bear markets. Volatility is the ticket to the ballgame; it comes with the territory of growing your wealth over the decades and throughout macrocycles.
Dalio’s concept of radical transparency and stress testing applies to your investment moves. Try this: Pull up your portfolio right now. What are your allocations to stocks, bonds, cash, commodities, real estate, gold, and cryptocurrency? If you were starting fresh, are the current weights what you would set? If not, consider tweaks that would align your actual asset allocation with your unbiased intention. Doing this now—when there’s relative calm—is much easier than executing shifts when volatility soars. After all, nobody knows what dangers lurk in the near future.
Dalio emphasizes the value of stress-testing a portfolio and performing scenario analyses to prepare for the unknowns and grasping how you might deal with certain outcomes. We assert that you can build an all-weather portfolio that can thrive in multiple macro regimes using the previously mentioned asset classes. Finally, understand that volatility changes themselves are signals that the environment is shifting—either in liquidity, credit conditions, or investor psychology. The key is not to predict each spike but to be structurally prepared for them.
VIX Analysis in Practice: Bear Markets & Corrections
The VIX has tended to behave differently in bear markets (S&P 500 declines of 20% or more) and corrections (garden-variety pullbacks of 10-20%). Let’s tour history to gain a better sense of how the VIX can help you make sound risk/reward portfolio decisions during the next stock market decline.
2008-09 GFC
The 57.7% peak-to-trough plunge from October 2007 to March 2009 began with a sanguine VIX near 16, below its long-term average of 20. As the stock market trended lower from Q4 2007 through the following summer, the VIX periodically rose above 30, but ranged in the aforementioned danger zone between 20 and 30.
While the Bear Stearns “takeunder” and drama with Fannie Mae and Freddie Mac unfolded in mid-2007, the real fireworks didn’t begin until the following September.
The VIX actually fell under 20 right before the September 15, 2008, Lehman Brothers bankruptcy announcement. It took more than a month for the fear gauge to rise to full-blown crisis levels above 60. Interestingly—this makes bear markets different from corrections—the VIX reached its zenith in November 2008, before the bear-market low in March 2009.
Through years-long market declines, fear usually peaks ahead of the low in stocks. It’s as if panic is followed by despondency, and it is the next leg lower that causes investors not to panic again, but to simply throw in the towel. That’s when you want to be aggressively repositioning in risk assets.
2008-09 Bear Market: VIX Peaked in November 2008, SPX Bottomed in March 2009
Source: Stockcharts.com
2020 COVID Crash
While not a multi-year event, the 34% S&P 500 freefall from February 19 to March 23, 2020, featured similarities to what happened during the GFC. The VIX reached a crescendo on March 16, precisely one week before the generational low in US large caps. While the VIX high and equity low were just five trading days apart, the entire bear market was only 23 trading sessions.
It was an unprecedented VIX ascent. On February 19 (the SPX peak) when COVID was spreading overseas, the VIX was under 15. Macro conditions rapidly deteriorated, but once again, fear’s pinnacle came in advance of the stock market nadir.
2020 Bear Market: VIX Peaked One Week Before the S&P 500 Bottomed
Source: Stockcharts.com
2022 Tech-Led Decline, Russian Invasion of Ukraine, Inflation Spike
Our final bear market review is the relatively tame 27.5% fall from January 2022 to the following October. No two market routs are the same, and this grind lower never had a true volatility jolt. Rather, the VIX bumped up against 40 a few times, but peaked on a closing basis more than six months before the SPX trough.
It was the same story of fear occurring early on and investors giving up rather than panic-selling. Interestingly, the S&P 500 bottom happened the morning of a very hot CPI report.
2022 Bear Market: VIX Held Under 40, but Volatility Peaked Months Before the SPX Low
Source: Stockcharts.com
2011 US Debt Downgrade, European Debt Crisis
Corrections are different than bear markets not only in the magnitude of a stock market decline, but also in how the equity low is marked. Rather than being worn out over time, investors are washed out by a sudden volatility increase.
In the middle of 2011, just a few years removed from the GFC, many macro investors were on the lookout for catalysts that would trigger the next leg lower. S&P’s downgrade of US credit, the ongoing debt debacle in Europe, and geopolitical tensions seemed to be just the set of macro risks to bring the global economy to its knees once again.
Narratives aside, it was a sharp correction with the SPX giving back about 20%, making it a borderline bear market. Small caps and emerging market equities certainly recorded bear markets of their own. The S&P 500 made a double bottom in August and October that year. At the same time, the VIX darted into the mid-high 40s. These two wash-out moments, indicated by implied volatility peaks, were the time to load up on stocks.
Another factoid: The S&P 500’s price-to-earnings ratio fell to under 11 in early October 2011—the P/E would go on to double over the next 10 years.
2011 Correction: VIX Spiked When Stocks Bottomed
Source: Stockcharts.com
2023 Tech Selloff
The final stop on our tour of VIX and S&P 500 history is a recent pullback. This one was tame by historical standards. Following the bear-market low of October 2022, stocks rose sharply on AI optimism and a cooling of global inflation. The VIX fell from above 30 to under 13, suggesting that a degree of complacency permeated investors’ psyche by early Q3 2023.
Stocks hit an all-time high in July, just shy of 4600 on the SPX, and later dipped to 4117 in late October. The VIX peaked at about the same time, but just in the low 20s. By year-end, the SPX notched new highs and the VIX subsided to 12.
2023 Correction: A Nearly Concurrent VIX High and S&P 500 Low
Source: Stockcharts.com
The Bottom Line
The VIX is a popular fear indicator in the financial media. It gets quoted ad nauseam during corrections and bear markets, but viewing it through the lens of Dalio’s principles helps investors prepare for the next inevitable crisis. The VIX, properly understood, is not just a fear gauge but a reflection of the macroeconomic heartbeat.
Understanding how the VIX tends to move amid equity declines also aids in knowing when to position more aggressively across asset classes to take advantage of new bull markets. The goal isn’t to predict volatility, but to understand it, prepare for it, and harness it.
The VIX, Market Cycles, and Ray Dalio’s Principles: Volatility Through a Macro Lens
Wall Street’s fear gauge is not just an interesting indicator, but a practical tool to help investors manage risk
Ray Dalio’s principles and macro insights apply to VIX analysis
By studying historical bear markets and corrections, you can gain an edge and prepare for the next stock market decline and subsequent upswing
The Cboe Volatility Index (VIX) is Wall Street’s go-to risk barometer. Known as the market’s “fear gauge,” the VIX is a quantitative index that uses S&P 500 option prices to arrive at an implied volatility level over the next 30 days. In short, the more expensive the options are, the higher the VIX. It’s not a perfect indicator, but it offers investors a sense of how much the S&P 500 might move up or down in the near term. Put another way, buyers and sellers of stocks and commodities are willing to pay more to protect themselves from price volatility by paying more for options than previously.
This risk measure is also misunderstood by many market participants. It’s important to recognize how the VIX fits into macro investing and global markets. We can do more than analyze its peaks and valleys; we can contextualize it within Ray Dalio’s principles, particularly those related to cycles, risk management, and decision-making when the heat is on across asset classes.
Let’s explore the VIX, what it signals, and how Ray Dalio’s principles can put this sentiment indicator in its proper place.
What is the VIX?
The VIX is a real-time market estimate of expected volatility of the S&P 500 (SPX). It’s calculated using the midpoint of SPX option bid/ask quotes and provides a clear measure of how much the market thinks the SPX will fluctuate over the ensuing 30 calendar days.
So that’s how the Cboe explains it. For everyday investors, the VIX has become a somewhat common index—when it spikes, we all know that usually corresponds to a bad day for US stocks. When the VIX is tranquil, under 15, it is mentioned just in passing on financial TV.
But why does the VIX jump when market anxiety rises? It’s all about the value of an option. When uncertainty rises, like during the COVID Crash or the 2008 Great Financial Crisis (GFC), stock prices rise and fall tremendously. In such instances, the value of the right to buy or sell the SPX at a pre-determined price shoots up since there’s a better chance the option can turn “in the money” before an expiration date. When there’s low volatility, many options will simply expire worthless.
Generally, volatility increases when the stock market falls; equities often increase like an escalator and drop like an elevator. During the drops, investors are willing to pay more for protection, translating into higher implied volatility.
The VIX is useful for figuring real-time fear in the US stock market, but it’s not a perfect indicator of what individual investors believe. There are times when other sentiment readings show dismal feelings about stocks, all while the VIX is low. Usually, though, if the VIX is high—above 30—that corresponds to bearish AAII Investor Sentiment Survey scores and a CNN Fear & Greed Index that has its needle swung way over the left (indicating high fear).
Historical data show some signal to be gleaned from the VIX—it's not just noise. According to performance data since 1990, the best S&P 500 returns have come when the VIX Is either low (under 18) or high (above 30). The danger zone, according to history, is when the VIX hovers in the 20s.
During those instances, markets have turned uneasy, but panic has not set in yet. Often amid corrections (10-15% declines), a wash-out moment is needed to reset intermarket conditions and set the stage for the next leg up.
S&P 500 Forward Returns Are Best When the VIX is Either Low or High
Source: Allio
The VIX is just one indicator in an investor’s toolkit. Ray Dalio said it best, “Embrace reality and deal with it.”
Amidst extended corrections and bear markets, much ink is spilled dissecting the VIX and tracking its every move, but it’s just traders’ collective best guess as to future market turbulence. Like so many macroeconomic clues, whether it is high or low isn’t the primary point; it’s what it means for your portfolio, other asset classes, and the global economy writ large.
Volatility, Market Cycles, and Dalio’s Economic Machine
The VIX fits into Dalio’s framework for understanding markets via cycles. Short-term debt cycles, long-term debt cycles, and overall productivity are often reflected in asset price trends, liquidity, and risk premiums. When the VIX is elevated for a prolonged period, it usually means we are in a particularly macro regime that’s either in flux or indicative of disruption.
High VIX Environments
Market context: Credit crunch, market panic, liquidity crises
Macro signals: Tightening financial conditions, falling asset prices, deleveraging
The Big Cycle: Rises near the top, peaks during the decline
High VIX environments occur in the thick of credit crunches (the GFC), market panics (the COVID Crash), and liquidity crises (the 1998 Long-Term Capital Management blowup). In such instances, a VIX surge is coincidental—as conditions change, the VIX moves in real-time. Financial conditions tighten, risk assets fall in value, and big market players de-lever.
During these periods, Dalio’s principles around maintaining balanced risks—preserving upside potential while limiting downside exposure—come into sharp focus. Traders should consider reducing the size of their positions, remain mindful of a wide range of potential market outcomes, and closely monitor near-term catalysts that could either amplify volatility or help rein it in.
A high VIX environment signals market stress and can wipe out firms that are caught either flat-footed on risk management or simply face “wrong-way” risk in markets (e.g., when the volatility increases, they face increasing losses). We saw that when Bear Stearns was on the brink of collapse in March 2008 before it was salvaged by JPMorgan. It occurred just a handful of months later with Lehman Brothers’ bankruptcy. And during the rapid interest-rate rise coming out of COVID, UBS was coerced into buying Credit Suisse.
Low VIX Environments
Typical context: Abundant liquidity, rising asset prices, financial complacency
Macro signals: Loosening financial conditions, rising leverage, speculative excess
The Big Cycle: Falls during the late decline, troughs during the rise
A low VIX broadly corresponds to bull markets in stocks. A stair-step higher in the value of risk assets, stable monetary and fiscal policy, and confidence in the overall economy breeds tranquility across the global marketplace. Companies, particularly banks, lever up their books while credit is cheap. Eventually, complacency sets in, and investors forget how quickly volatility can resurface if just one or two macro shocks occur.
Dalio would describe this as the point where the debt cycle has gone too far, and asset prices have risen beyond fundamentals. A low-VIX environment can last for many years, but it can end with a macro tsunami.
Dalio’s Big Cycle
Source: Principles for Dealing with the Changing World Order: Why Nations Succeed and Fail
Building a Dalio-Inspired Volatility Framework
For modern macro investors, combining VIX analysis with Dalio’s cycle framework creates a useful roadmap:
Phase | Credit Conditions | VIX Level | Dalio Principle |
Early Cycle | Expanding | Moderate Falling | Add risk, expect higher returns |
Mid Cycle | Neutral | Low | Balanced risk, prepare for volatility |
Late Cycle | Tightening | Moderate Rising | Hedge, hold uncorrelated assets |
Crisis | Contracting | High | Rebalance, add quality assets, prepare for a stock market bottom |
Principles Applied: Navigating Volatility Using Dalio’s Playbook
Ray Dalio built and grew Bridgewater Associates not by avoiding volatility, but by effectively managing risk at all points within The Big Cycle. The keys to successful portfolio management include a few core tenants that we can pull straight from Dalio’s works:
“Recognize that the biggest threat to good decision-making is harmful emotions.”
Whether at the office or in markets, don’t let emotions drive decisions. Follow a process designed to help you make informed, risk-centered choices that minimize upside and leverage upside. In the equity space, when volatility spikes, it creates emotional noise as investors panic, react to each news headline, and ditch their long-term plans. It is at periods like these when you must heed Dalio’s wisdom.
Of course, you don’t have to wait for the VIX to propel to 50+. Develop a strategy today for how you will handle volatility tomorrow. Are you ready to “buy the dip,” for lack of a better phrase? Do you have enough cash on hand to meet daily living expenses? Have you rebalanced your allocation to your target risk and return objectives lately? Is this something you can handle yourself or should you work with a professional? These are actions to take amid the calm times so that you are less susceptible to making emotional decisions when the fear gauge rises.
“Making a handful of good uncorrelated bets that are balanced and leveraged well is the surest way of having a lot of upside without being exposed to unacceptable downside.”
The next Dalio truism comes from Principles: Life and Work. It gets to the heart of what we do at Allio—helping investors construct and manage a dynamic macro portfolio to weather a variety of market conditions. Holding uncorrelated assets can bring down an allocation’s long-term volatility. Stocks, bonds, interest-earning cash, commodities, real estate, gold, or cryptocurrency are all vehicles by which strong risk-adjusted returns can be achieved.
That sounds perfect on paper, but in practice, we know that correlations often gravitate toward one when fear climaxes. October 2008 and March 2020 are prime cases where it was a “sell first, ask questions later” playbook, but that is when cash (liquidity) is king. In future panics, gold, bitcoin, or oil could be treated as safe havens.
The 2022 bear market featured fantastic price strength in oil, for instance. Gold performed well during the GFC despite a sharp drop in October 2008. Treasurys turned into alpha-generators in ‘08 and 2020.
These intermarket relationships tie in with Dalio’s Big Cycle lattice. It’s key to spot clues on where we are in the cycle, not just whether the VIX is high or low. You can learn more about that in our Macro Masterpiece.
“Knowing how to deal well with what you don’t know is much more important than anything you know.”
Long-term success in markets is simple to achieve for those who are prepared to handle volatility, corrections, and protracted bear markets. Volatility is the ticket to the ballgame; it comes with the territory of growing your wealth over the decades and throughout macrocycles.
Dalio’s concept of radical transparency and stress testing applies to your investment moves. Try this: Pull up your portfolio right now. What are your allocations to stocks, bonds, cash, commodities, real estate, gold, and cryptocurrency? If you were starting fresh, are the current weights what you would set? If not, consider tweaks that would align your actual asset allocation with your unbiased intention. Doing this now—when there’s relative calm—is much easier than executing shifts when volatility soars. After all, nobody knows what dangers lurk in the near future.
Dalio emphasizes the value of stress-testing a portfolio and performing scenario analyses to prepare for the unknowns and grasping how you might deal with certain outcomes. We assert that you can build an all-weather portfolio that can thrive in multiple macro regimes using the previously mentioned asset classes. Finally, understand that volatility changes themselves are signals that the environment is shifting—either in liquidity, credit conditions, or investor psychology. The key is not to predict each spike but to be structurally prepared for them.
VIX Analysis in Practice: Bear Markets & Corrections
The VIX has tended to behave differently in bear markets (S&P 500 declines of 20% or more) and corrections (garden-variety pullbacks of 10-20%). Let’s tour history to gain a better sense of how the VIX can help you make sound risk/reward portfolio decisions during the next stock market decline.
2008-09 GFC
The 57.7% peak-to-trough plunge from October 2007 to March 2009 began with a sanguine VIX near 16, below its long-term average of 20. As the stock market trended lower from Q4 2007 through the following summer, the VIX periodically rose above 30, but ranged in the aforementioned danger zone between 20 and 30.
While the Bear Stearns “takeunder” and drama with Fannie Mae and Freddie Mac unfolded in mid-2007, the real fireworks didn’t begin until the following September.
The VIX actually fell under 20 right before the September 15, 2008, Lehman Brothers bankruptcy announcement. It took more than a month for the fear gauge to rise to full-blown crisis levels above 60. Interestingly—this makes bear markets different from corrections—the VIX reached its zenith in November 2008, before the bear-market low in March 2009.
Through years-long market declines, fear usually peaks ahead of the low in stocks. It’s as if panic is followed by despondency, and it is the next leg lower that causes investors not to panic again, but to simply throw in the towel. That’s when you want to be aggressively repositioning in risk assets.
2008-09 Bear Market: VIX Peaked in November 2008, SPX Bottomed in March 2009
Source: Stockcharts.com
2020 COVID Crash
While not a multi-year event, the 34% S&P 500 freefall from February 19 to March 23, 2020, featured similarities to what happened during the GFC. The VIX reached a crescendo on March 16, precisely one week before the generational low in US large caps. While the VIX high and equity low were just five trading days apart, the entire bear market was only 23 trading sessions.
It was an unprecedented VIX ascent. On February 19 (the SPX peak) when COVID was spreading overseas, the VIX was under 15. Macro conditions rapidly deteriorated, but once again, fear’s pinnacle came in advance of the stock market nadir.
2020 Bear Market: VIX Peaked One Week Before the S&P 500 Bottomed
Source: Stockcharts.com
2022 Tech-Led Decline, Russian Invasion of Ukraine, Inflation Spike
Our final bear market review is the relatively tame 27.5% fall from January 2022 to the following October. No two market routs are the same, and this grind lower never had a true volatility jolt. Rather, the VIX bumped up against 40 a few times, but peaked on a closing basis more than six months before the SPX trough.
It was the same story of fear occurring early on and investors giving up rather than panic-selling. Interestingly, the S&P 500 bottom happened the morning of a very hot CPI report.
2022 Bear Market: VIX Held Under 40, but Volatility Peaked Months Before the SPX Low
Source: Stockcharts.com
2011 US Debt Downgrade, European Debt Crisis
Corrections are different than bear markets not only in the magnitude of a stock market decline, but also in how the equity low is marked. Rather than being worn out over time, investors are washed out by a sudden volatility increase.
In the middle of 2011, just a few years removed from the GFC, many macro investors were on the lookout for catalysts that would trigger the next leg lower. S&P’s downgrade of US credit, the ongoing debt debacle in Europe, and geopolitical tensions seemed to be just the set of macro risks to bring the global economy to its knees once again.
Narratives aside, it was a sharp correction with the SPX giving back about 20%, making it a borderline bear market. Small caps and emerging market equities certainly recorded bear markets of their own. The S&P 500 made a double bottom in August and October that year. At the same time, the VIX darted into the mid-high 40s. These two wash-out moments, indicated by implied volatility peaks, were the time to load up on stocks.
Another factoid: The S&P 500’s price-to-earnings ratio fell to under 11 in early October 2011—the P/E would go on to double over the next 10 years.
2011 Correction: VIX Spiked When Stocks Bottomed
Source: Stockcharts.com
2023 Tech Selloff
The final stop on our tour of VIX and S&P 500 history is a recent pullback. This one was tame by historical standards. Following the bear-market low of October 2022, stocks rose sharply on AI optimism and a cooling of global inflation. The VIX fell from above 30 to under 13, suggesting that a degree of complacency permeated investors’ psyche by early Q3 2023.
Stocks hit an all-time high in July, just shy of 4600 on the SPX, and later dipped to 4117 in late October. The VIX peaked at about the same time, but just in the low 20s. By year-end, the SPX notched new highs and the VIX subsided to 12.
2023 Correction: A Nearly Concurrent VIX High and S&P 500 Low
Source: Stockcharts.com
The Bottom Line
The VIX is a popular fear indicator in the financial media. It gets quoted ad nauseam during corrections and bear markets, but viewing it through the lens of Dalio’s principles helps investors prepare for the next inevitable crisis. The VIX, properly understood, is not just a fear gauge but a reflection of the macroeconomic heartbeat.
Understanding how the VIX tends to move amid equity declines also aids in knowing when to position more aggressively across asset classes to take advantage of new bull markets. The goal isn’t to predict volatility, but to understand it, prepare for it, and harness it.
The VIX, Market Cycles, and Ray Dalio’s Principles: Volatility Through a Macro Lens
Wall Street’s fear gauge is not just an interesting indicator, but a practical tool to help investors manage risk
Ray Dalio’s principles and macro insights apply to VIX analysis
By studying historical bear markets and corrections, you can gain an edge and prepare for the next stock market decline and subsequent upswing
The Cboe Volatility Index (VIX) is Wall Street’s go-to risk barometer. Known as the market’s “fear gauge,” the VIX is a quantitative index that uses S&P 500 option prices to arrive at an implied volatility level over the next 30 days. In short, the more expensive the options are, the higher the VIX. It’s not a perfect indicator, but it offers investors a sense of how much the S&P 500 might move up or down in the near term. Put another way, buyers and sellers of stocks and commodities are willing to pay more to protect themselves from price volatility by paying more for options than previously.
This risk measure is also misunderstood by many market participants. It’s important to recognize how the VIX fits into macro investing and global markets. We can do more than analyze its peaks and valleys; we can contextualize it within Ray Dalio’s principles, particularly those related to cycles, risk management, and decision-making when the heat is on across asset classes.
Let’s explore the VIX, what it signals, and how Ray Dalio’s principles can put this sentiment indicator in its proper place.
What is the VIX?
The VIX is a real-time market estimate of expected volatility of the S&P 500 (SPX). It’s calculated using the midpoint of SPX option bid/ask quotes and provides a clear measure of how much the market thinks the SPX will fluctuate over the ensuing 30 calendar days.
So that’s how the Cboe explains it. For everyday investors, the VIX has become a somewhat common index—when it spikes, we all know that usually corresponds to a bad day for US stocks. When the VIX is tranquil, under 15, it is mentioned just in passing on financial TV.
But why does the VIX jump when market anxiety rises? It’s all about the value of an option. When uncertainty rises, like during the COVID Crash or the 2008 Great Financial Crisis (GFC), stock prices rise and fall tremendously. In such instances, the value of the right to buy or sell the SPX at a pre-determined price shoots up since there’s a better chance the option can turn “in the money” before an expiration date. When there’s low volatility, many options will simply expire worthless.
Generally, volatility increases when the stock market falls; equities often increase like an escalator and drop like an elevator. During the drops, investors are willing to pay more for protection, translating into higher implied volatility.
The VIX is useful for figuring real-time fear in the US stock market, but it’s not a perfect indicator of what individual investors believe. There are times when other sentiment readings show dismal feelings about stocks, all while the VIX is low. Usually, though, if the VIX is high—above 30—that corresponds to bearish AAII Investor Sentiment Survey scores and a CNN Fear & Greed Index that has its needle swung way over the left (indicating high fear).
Historical data show some signal to be gleaned from the VIX—it's not just noise. According to performance data since 1990, the best S&P 500 returns have come when the VIX Is either low (under 18) or high (above 30). The danger zone, according to history, is when the VIX hovers in the 20s.
During those instances, markets have turned uneasy, but panic has not set in yet. Often amid corrections (10-15% declines), a wash-out moment is needed to reset intermarket conditions and set the stage for the next leg up.
S&P 500 Forward Returns Are Best When the VIX is Either Low or High
Source: Allio
The VIX is just one indicator in an investor’s toolkit. Ray Dalio said it best, “Embrace reality and deal with it.”
Amidst extended corrections and bear markets, much ink is spilled dissecting the VIX and tracking its every move, but it’s just traders’ collective best guess as to future market turbulence. Like so many macroeconomic clues, whether it is high or low isn’t the primary point; it’s what it means for your portfolio, other asset classes, and the global economy writ large.
Volatility, Market Cycles, and Dalio’s Economic Machine
The VIX fits into Dalio’s framework for understanding markets via cycles. Short-term debt cycles, long-term debt cycles, and overall productivity are often reflected in asset price trends, liquidity, and risk premiums. When the VIX is elevated for a prolonged period, it usually means we are in a particularly macro regime that’s either in flux or indicative of disruption.
High VIX Environments
Market context: Credit crunch, market panic, liquidity crises
Macro signals: Tightening financial conditions, falling asset prices, deleveraging
The Big Cycle: Rises near the top, peaks during the decline
High VIX environments occur in the thick of credit crunches (the GFC), market panics (the COVID Crash), and liquidity crises (the 1998 Long-Term Capital Management blowup). In such instances, a VIX surge is coincidental—as conditions change, the VIX moves in real-time. Financial conditions tighten, risk assets fall in value, and big market players de-lever.
During these periods, Dalio’s principles around maintaining balanced risks—preserving upside potential while limiting downside exposure—come into sharp focus. Traders should consider reducing the size of their positions, remain mindful of a wide range of potential market outcomes, and closely monitor near-term catalysts that could either amplify volatility or help rein it in.
A high VIX environment signals market stress and can wipe out firms that are caught either flat-footed on risk management or simply face “wrong-way” risk in markets (e.g., when the volatility increases, they face increasing losses). We saw that when Bear Stearns was on the brink of collapse in March 2008 before it was salvaged by JPMorgan. It occurred just a handful of months later with Lehman Brothers’ bankruptcy. And during the rapid interest-rate rise coming out of COVID, UBS was coerced into buying Credit Suisse.
Low VIX Environments
Typical context: Abundant liquidity, rising asset prices, financial complacency
Macro signals: Loosening financial conditions, rising leverage, speculative excess
The Big Cycle: Falls during the late decline, troughs during the rise
A low VIX broadly corresponds to bull markets in stocks. A stair-step higher in the value of risk assets, stable monetary and fiscal policy, and confidence in the overall economy breeds tranquility across the global marketplace. Companies, particularly banks, lever up their books while credit is cheap. Eventually, complacency sets in, and investors forget how quickly volatility can resurface if just one or two macro shocks occur.
Dalio would describe this as the point where the debt cycle has gone too far, and asset prices have risen beyond fundamentals. A low-VIX environment can last for many years, but it can end with a macro tsunami.
Dalio’s Big Cycle
Source: Principles for Dealing with the Changing World Order: Why Nations Succeed and Fail
Building a Dalio-Inspired Volatility Framework
For modern macro investors, combining VIX analysis with Dalio’s cycle framework creates a useful roadmap:
Phase | Credit Conditions | VIX Level | Dalio Principle |
Early Cycle | Expanding | Moderate Falling | Add risk, expect higher returns |
Mid Cycle | Neutral | Low | Balanced risk, prepare for volatility |
Late Cycle | Tightening | Moderate Rising | Hedge, hold uncorrelated assets |
Crisis | Contracting | High | Rebalance, add quality assets, prepare for a stock market bottom |
Principles Applied: Navigating Volatility Using Dalio’s Playbook
Ray Dalio built and grew Bridgewater Associates not by avoiding volatility, but by effectively managing risk at all points within The Big Cycle. The keys to successful portfolio management include a few core tenants that we can pull straight from Dalio’s works:
“Recognize that the biggest threat to good decision-making is harmful emotions.”
Whether at the office or in markets, don’t let emotions drive decisions. Follow a process designed to help you make informed, risk-centered choices that minimize upside and leverage upside. In the equity space, when volatility spikes, it creates emotional noise as investors panic, react to each news headline, and ditch their long-term plans. It is at periods like these when you must heed Dalio’s wisdom.
Of course, you don’t have to wait for the VIX to propel to 50+. Develop a strategy today for how you will handle volatility tomorrow. Are you ready to “buy the dip,” for lack of a better phrase? Do you have enough cash on hand to meet daily living expenses? Have you rebalanced your allocation to your target risk and return objectives lately? Is this something you can handle yourself or should you work with a professional? These are actions to take amid the calm times so that you are less susceptible to making emotional decisions when the fear gauge rises.
“Making a handful of good uncorrelated bets that are balanced and leveraged well is the surest way of having a lot of upside without being exposed to unacceptable downside.”
The next Dalio truism comes from Principles: Life and Work. It gets to the heart of what we do at Allio—helping investors construct and manage a dynamic macro portfolio to weather a variety of market conditions. Holding uncorrelated assets can bring down an allocation’s long-term volatility. Stocks, bonds, interest-earning cash, commodities, real estate, gold, or cryptocurrency are all vehicles by which strong risk-adjusted returns can be achieved.
That sounds perfect on paper, but in practice, we know that correlations often gravitate toward one when fear climaxes. October 2008 and March 2020 are prime cases where it was a “sell first, ask questions later” playbook, but that is when cash (liquidity) is king. In future panics, gold, bitcoin, or oil could be treated as safe havens.
The 2022 bear market featured fantastic price strength in oil, for instance. Gold performed well during the GFC despite a sharp drop in October 2008. Treasurys turned into alpha-generators in ‘08 and 2020.
These intermarket relationships tie in with Dalio’s Big Cycle lattice. It’s key to spot clues on where we are in the cycle, not just whether the VIX is high or low. You can learn more about that in our Macro Masterpiece.
“Knowing how to deal well with what you don’t know is much more important than anything you know.”
Long-term success in markets is simple to achieve for those who are prepared to handle volatility, corrections, and protracted bear markets. Volatility is the ticket to the ballgame; it comes with the territory of growing your wealth over the decades and throughout macrocycles.
Dalio’s concept of radical transparency and stress testing applies to your investment moves. Try this: Pull up your portfolio right now. What are your allocations to stocks, bonds, cash, commodities, real estate, gold, and cryptocurrency? If you were starting fresh, are the current weights what you would set? If not, consider tweaks that would align your actual asset allocation with your unbiased intention. Doing this now—when there’s relative calm—is much easier than executing shifts when volatility soars. After all, nobody knows what dangers lurk in the near future.
Dalio emphasizes the value of stress-testing a portfolio and performing scenario analyses to prepare for the unknowns and grasping how you might deal with certain outcomes. We assert that you can build an all-weather portfolio that can thrive in multiple macro regimes using the previously mentioned asset classes. Finally, understand that volatility changes themselves are signals that the environment is shifting—either in liquidity, credit conditions, or investor psychology. The key is not to predict each spike but to be structurally prepared for them.
VIX Analysis in Practice: Bear Markets & Corrections
The VIX has tended to behave differently in bear markets (S&P 500 declines of 20% or more) and corrections (garden-variety pullbacks of 10-20%). Let’s tour history to gain a better sense of how the VIX can help you make sound risk/reward portfolio decisions during the next stock market decline.
2008-09 GFC
The 57.7% peak-to-trough plunge from October 2007 to March 2009 began with a sanguine VIX near 16, below its long-term average of 20. As the stock market trended lower from Q4 2007 through the following summer, the VIX periodically rose above 30, but ranged in the aforementioned danger zone between 20 and 30.
While the Bear Stearns “takeunder” and drama with Fannie Mae and Freddie Mac unfolded in mid-2007, the real fireworks didn’t begin until the following September.
The VIX actually fell under 20 right before the September 15, 2008, Lehman Brothers bankruptcy announcement. It took more than a month for the fear gauge to rise to full-blown crisis levels above 60. Interestingly—this makes bear markets different from corrections—the VIX reached its zenith in November 2008, before the bear-market low in March 2009.
Through years-long market declines, fear usually peaks ahead of the low in stocks. It’s as if panic is followed by despondency, and it is the next leg lower that causes investors not to panic again, but to simply throw in the towel. That’s when you want to be aggressively repositioning in risk assets.
2008-09 Bear Market: VIX Peaked in November 2008, SPX Bottomed in March 2009
Source: Stockcharts.com
2020 COVID Crash
While not a multi-year event, the 34% S&P 500 freefall from February 19 to March 23, 2020, featured similarities to what happened during the GFC. The VIX reached a crescendo on March 16, precisely one week before the generational low in US large caps. While the VIX high and equity low were just five trading days apart, the entire bear market was only 23 trading sessions.
It was an unprecedented VIX ascent. On February 19 (the SPX peak) when COVID was spreading overseas, the VIX was under 15. Macro conditions rapidly deteriorated, but once again, fear’s pinnacle came in advance of the stock market nadir.
2020 Bear Market: VIX Peaked One Week Before the S&P 500 Bottomed
Source: Stockcharts.com
2022 Tech-Led Decline, Russian Invasion of Ukraine, Inflation Spike
Our final bear market review is the relatively tame 27.5% fall from January 2022 to the following October. No two market routs are the same, and this grind lower never had a true volatility jolt. Rather, the VIX bumped up against 40 a few times, but peaked on a closing basis more than six months before the SPX trough.
It was the same story of fear occurring early on and investors giving up rather than panic-selling. Interestingly, the S&P 500 bottom happened the morning of a very hot CPI report.
2022 Bear Market: VIX Held Under 40, but Volatility Peaked Months Before the SPX Low
Source: Stockcharts.com
2011 US Debt Downgrade, European Debt Crisis
Corrections are different than bear markets not only in the magnitude of a stock market decline, but also in how the equity low is marked. Rather than being worn out over time, investors are washed out by a sudden volatility increase.
In the middle of 2011, just a few years removed from the GFC, many macro investors were on the lookout for catalysts that would trigger the next leg lower. S&P’s downgrade of US credit, the ongoing debt debacle in Europe, and geopolitical tensions seemed to be just the set of macro risks to bring the global economy to its knees once again.
Narratives aside, it was a sharp correction with the SPX giving back about 20%, making it a borderline bear market. Small caps and emerging market equities certainly recorded bear markets of their own. The S&P 500 made a double bottom in August and October that year. At the same time, the VIX darted into the mid-high 40s. These two wash-out moments, indicated by implied volatility peaks, were the time to load up on stocks.
Another factoid: The S&P 500’s price-to-earnings ratio fell to under 11 in early October 2011—the P/E would go on to double over the next 10 years.
2011 Correction: VIX Spiked When Stocks Bottomed
Source: Stockcharts.com
2023 Tech Selloff
The final stop on our tour of VIX and S&P 500 history is a recent pullback. This one was tame by historical standards. Following the bear-market low of October 2022, stocks rose sharply on AI optimism and a cooling of global inflation. The VIX fell from above 30 to under 13, suggesting that a degree of complacency permeated investors’ psyche by early Q3 2023.
Stocks hit an all-time high in July, just shy of 4600 on the SPX, and later dipped to 4117 in late October. The VIX peaked at about the same time, but just in the low 20s. By year-end, the SPX notched new highs and the VIX subsided to 12.
2023 Correction: A Nearly Concurrent VIX High and S&P 500 Low
Source: Stockcharts.com
The Bottom Line
The VIX is a popular fear indicator in the financial media. It gets quoted ad nauseam during corrections and bear markets, but viewing it through the lens of Dalio’s principles helps investors prepare for the next inevitable crisis. The VIX, properly understood, is not just a fear gauge but a reflection of the macroeconomic heartbeat.
Understanding how the VIX tends to move amid equity declines also aids in knowing when to position more aggressively across asset classes to take advantage of new bull markets. The goal isn’t to predict volatility, but to understand it, prepare for it, and harness it.
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Disclosures
This material is for informational purposes only and should not be construed as financial, legal, or tax advice. You should consult your own financial, legal, and tax advisors before engaging in any transaction. Information, including hypothetical projections of finances, may not take into account taxes, commissions, or other factors which may significantly affect potential outcomes. This material should not be considered an offer or recommendation to buy or sell a security. While information and sources are believed to be accurate, Allio Capital does not guarantee the accuracy or completeness of any information or source provided herein and is under no obligation to update this information.
Past performance is not a guarantee or a reliable indicator of future results. All investments contain risk and may lose value. Performance could be volatile; an investment in a fund or an account may lose money.
There is no guarantee that these investment strategies will work under all market conditions or are appropriate for all investors and each investor should evaluate their ability to invest long-term, especially during periods of downturn in the market.
Disclosures
This material is for informational purposes only and should not be construed as financial, legal, or tax advice. You should consult your own financial, legal, and tax advisors before engaging in any transaction. Information, including hypothetical projections of finances, may not take into account taxes, commissions, or other factors which may significantly affect potential outcomes. This material should not be considered an offer or recommendation to buy or sell a security. While information and sources are believed to be accurate, Allio Capital does not guarantee the accuracy or completeness of any information or source provided herein and is under no obligation to update this information.
Past performance is not a guarantee or a reliable indicator of future results. All investments contain risk and may lose value. Performance could be volatile; an investment in a fund or an account may lose money.
There is no guarantee that these investment strategies will work under all market conditions or are appropriate for all investors and each investor should evaluate their ability to invest long-term, especially during periods of downturn in the market.
Disclosures
This material is for informational purposes only and should not be construed as financial, legal, or tax advice. You should consult your own financial, legal, and tax advisors before engaging in any transaction. Information, including hypothetical projections of finances, may not take into account taxes, commissions, or other factors which may significantly affect potential outcomes. This material should not be considered an offer or recommendation to buy or sell a security. While information and sources are believed to be accurate, Allio Capital does not guarantee the accuracy or completeness of any information or source provided herein and is under no obligation to update this information.
Past performance is not a guarantee or a reliable indicator of future results. All investments contain risk and may lose value. Performance could be volatile; an investment in a fund or an account may lose money.
There is no guarantee that these investment strategies will work under all market conditions or are appropriate for all investors and each investor should evaluate their ability to invest long-term, especially during periods of downturn in the market.
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What We Do
What We Say
Who We Are
Legal
Allio Advisors LLC ("Allio") is an SEC registered investment advisor. By using this website, you accept our Terms of Service and our Privacy Policy. Allio's investment advisory services are available only to residents of the United States. Nothing on this website should be considered an offer, recommendation, solicitation of an offer, or advice to buy or sell any security. The information provided herein is for informational and general educational purposes only and is not investment or financial advice. Additionally, Allio does not provide tax advice and investors are encouraged to consult with their tax advisor. By law, we must provide investment advice that is in the best interest of our client. Please refer to Allio's ADV Part 2A Brochure for important additional information. Please see our Customer Relationship Summary.
Online trading has inherent risk due to system response, execution price, speed, liquidity, market data and access times that may vary due to market conditions, system performance, market volatility, size and type of order and other factors. An investor should understand these and additional risks before trading. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Past performance is no guarantee of future results.
Brokerage services will be provided to Allio clients through Allio Markets LLC, ("Allio Markets") SEC-registered broker-dealer and member FINRA/SIPC . Securities in your account protected up to $500,000. For details, please see www.sipc.org. Allio Advisors LLC and Allio Markets LLC are separate but affiliated companies. Allio Capital does not offer services to Florida.
Securities products are: Not FDIC insured · Not bank guaranteed · May lose value
Any investment , trade-related or brokerage questions shall be communicated to support@alliocapital.com
Please read Important Legal Disclosures
v1 01.20.2025
What We Do
What We Say
Who We Are
Legal
Allio Advisors LLC ("Allio") is an SEC registered investment advisor. By using this website, you accept our Terms of Service and our Privacy Policy. Allio's investment advisory services are available only to residents of the United States. Nothing on this website should be considered an offer, recommendation, solicitation of an offer, or advice to buy or sell any security. The information provided herein is for informational and general educational purposes only and is not investment or financial advice. Additionally, Allio does not provide tax advice and investors are encouraged to consult with their tax advisor. By law, we must provide investment advice that is in the best interest of our client. Please refer to Allio's ADV Part 2A Brochure for important additional information. Please see our Customer Relationship Summary.
Online trading has inherent risk due to system response, execution price, speed, liquidity, market data and access times that may vary due to market conditions, system performance, market volatility, size and type of order and other factors. An investor should understand these and additional risks before trading. Any historical returns, expected returns, or probability projections are hypothetical in nature and may not reflect actual future performance. Past performance is no guarantee of future results.
Brokerage services will be provided to Allio clients through Allio Markets LLC, ("Allio Markets") SEC-registered broker-dealer and member FINRA/SIPC . Securities in your account protected up to $500,000. For details, please see www.sipc.org. Allio Advisors LLC and Allio Markets LLC are separate but affiliated companies. Allio Capital does not offer services to Florida.
Securities products are: Not FDIC insured · Not bank guaranteed · May lose value
Any investment , trade-related or brokerage questions shall be communicated to support@alliocapital.com
Please read Important Legal Disclosures
v1 01.20.2025