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In this study, ARDL (Autoregressive distributed Lag Bound Test) and Granger Causality Test were conducted to identify the causal relationship between Volatility Index (VIX), also known as the Fear Index, and the Sustainability Index (XUSRD), which are sub-indices of Stock Istanbul (BIST). The study used weekly series for the VIX and Sustainability Index from November 2014 to December 2020, while the Corporate Governance Index used weekly series from September 2007 to December 2020. When selecting periods, the dates when the Sustainability and Corporate Governance indexes were started to be calculated are taken into account. As a result, it was determined that there was a long-term relationship between the VIX Index and the XUSRD and XKUR indices, and that there was a significant causality of 1% toward the XUSRD and XKUR indices from the VIX Index. This result is in line with the results in the literature. As a result, the VIX Index is a sign that must be followed for investors who are considering investing in companies in the BIST Sustainability Index (XUSRD) and the Corporate Governance Index (XKUR).
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