Sentences with phrase «much equity volatility»

Not exact matches

Some people wonder whether now's the time to own low - volatility equities, given that the market has fallen so much and could be due for an upswing.

They don't understand much they report on as it is, but with equity volatility, they're really in over their heads.

We've had some market volatility this year that we've seen that may make some investors uncomfortable, but the reality of it is, the conversations we were having up to this point is, make sure you rebalance your portfolio to make sure that you're not taking on too much equity risk, and that your asset allocation is aligned to meet your goals.

The bottom line: U.S. equities can move higher in 2015, but as we've already seen, the path is likely to be accompanied by much more volatility.

While the early - 2017 Federal Reserve minutes «expressed concern [about] the low level of implied volatility in equity markets,» it is worth noting that the SPX implied volatility levels at both 80 % and 90 % moneyness (corresponding with out - of - the - money puts used for portfolio protection) generally were much higher than the VIX levels.

If much of the investment into bond mutual funds that has occurred the last couple of years is for purposes of dampening the volatility of a portfolio — and with the 10 - Year Treasury yield at 1.8 percent it's difficult to argue for a different motivation - then it's important to think through the thesis that bonds will defend a balanced portfolio in an equity bear market in the same way they have, especially to the extent they have in the last two bear markets.

Pretty much everything and everyone says that now I'm older I need to reduce risk and volatility by holding bonds (e.g. McClung receommended 50 - 60 % equities).

I have underlined several times that while we did see volatility in the equity market in Q1» 18, the bond market was numb to any market movements; while Treasuries were falling, junk bonds didn't widen much compared to how they were trading at the beginning of the year.

All markets will continue to focus on the volatility in the equity and bond markets, geopolitical events, developments with the Trump Administration, corporate earnings, oil prices, and will turn to tomorrow's much awaited US Payroll Report for near term direction..

As such, any spike in equity market realized volatility, even to historical average levels, has the potential to drive a significant amount of equity selling (much of it automated).

Coming from a background analysing non-equity funds with much lower volatility, someone who can outperform an equity index with significantly less vol appeals much more than the same outperformance but with greater than index volatility.

Using a Bloomberg terminal, I would check the equity price movement over the last twelve months (red flag — down a lot), equity implied volatility (red flag — up a lot), balance sheet (how much leverage, and what is the trend?)

Much like our Asian equity ETF example above, the ETF didn't increase the volatility of the local market, it just showed you where that market was valued even when it was closed.

Over much longer periods, managed futures indexes have provided near - equity returns with reduced volatility.

Investors can thus use the much higher volatility of equity prices as an opportunity to buy future dividends quite cheaply.

While the equity piece is the dominant volatility exposure in our portfolios we know that current bond markets leave much to be desired.

However, investors should not be concerned about high multiples because when volatility is low, equity markets are much less likely to decline.

Yesterday, I read a Reuters article with the title, When Diversification Fails, which pretty much says the same thing: «since the credit crisis began in August 2007, these alternatives fell in lockstep with, or sometimes faster than, equities, driving volatility higher and amplifying losses of a risky portfolio.»

While the market is large, it is far less liquid than the equity market, with bonds trading far less frequently, and typically with a much higher bid / offer spread relative to underlying volatility.

The ratio of these volatilities informs how much of the region - specific variation — the volatility uncorrelated to the global component — can be diversified by simply averaging an equity strategy across countries.

But the volatility is much lower - the maximum drawdown was 20 % in the early equities, compared with 50 % (twice) for equities and 40 % for government bonds.

«Portfolio volatility and risk is a matter which is very much personalized to the individual investor,» says Mark Allen, vice-president equities at RBC Wealth Management.

International markets avoided much of the volatility endured by U.S. equities during the quarter.

Anyway, currencies are mean - reverting much of the time — so despite high short - term FX volatility, in the medium term the scale of your equity gains / losses is likely to far exceed any related currency gains / losses.

We've had some market volatility this year that we've seen that may make some investors uncomfortable, but the reality of it is, the conversations we were having up to this point is, make sure you rebalance your portfolio to make sure that you're not taking on too much equity risk, and that your asset allocation is aligned to meet your goals.

Compared to other investment options, apartment returns outperform bonds and T - Bills with somewhat higher risk, but are far below the average returns for the S&P 500 and NAREIT Equity REIT with their much higher risk volatility.