# Calculating the annualized return of the VIX

I need to calculate the annualized return of the VIX and it's Futures by using daily data from six and a half years. I tried to use the R-function Return.annualized from the PerformanceAnalytics-package:

 Return.annualized(vix,scale=252,geometric=TRUE)


But all R shows is "INF" as a result. Am I wrong by just letting the daily index values run through this?

Your data must be corrupted. Can you run summary or hist on them to see whether there are NAs or prices that are not plausible?

The problem is that you work on prices. You should work on the returns of VIX: What about this:

library(PerformanceAnalytics)
library(xts)
vix = xts(data$VIX, order.by = as.Date(data$Date,"%d.%M.%Y")  )