Institutional investors are betting against market volatility: Net VIX futures positioning among asset managers is down to -$36.6 million, the lowest since August 2024. Excluding July and August 2024, this marks the lowest reading in at least 9 years. Positioning shifted from net long +$20.0 million to net short over the last 5 weeks, marking a sharp reversal. Such extreme short positioning often leaves markets vulnerable to sharp volatility spikes if sentiment deteriorates. A similar setup occurred in July-August 2024, when a sudden shift in risk appetite drove a nearly -10% market pullback. Is market volatility about to surge?