The variance risk premium is desk rent until the left tail invoices you.
Chapter 04 · The VIX Trading Bible · v1.0 Premium as inventory Implied above realized is the usual state. Selling that gap funds desks — and funds the next forced covering when realized explodes. When premium lies Fat VRP with steep skew and rising VVIX is not free money; it is priced chaos waiting for a trigger. Worked desk checklist Track 1m RV vs VIX, plus VVIX. Size short-vol to the joint state, not to a single premium number. Desk takeaway. Treat the VIX complex as machinery: strip → curve → flow → spot feedback. Narrative comes last.
Premium research continues below.
Unlock to read the full report, framework, and trade path.