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In this paper, https://globalmarkets.bnpparibas.com/r/Volatility_Express_20171128.pdf?t=BG3REXwMP3NZJRN7wY5Vt&stream=true, it states that,

SPX Implied Normalized Skew: (25D Put IV - 25D Call IV)/(ATM IV)

Why would you want to look at skew and when you want normalized skew?

Also why does dividing by ATM IV normalize it?

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