Three local boutique managers talk about the strategies that they are thinking about given the current market volatility. Published on Citiwire.
How do asset allocators get protection amid market volatility?
It seems unlikely that the current market volatility due to the Covid-19 crisis is over. The VIX in the US is down to its lowest levels since late February, but there are good reasons not to be complacent.
‘Given the speed of the rebound in markets, and our concerns in terms of what’s happening from a real economic point of view, we have felt that it’s prudent to have some protection in portfolios to the extent that there are some tail events we could see in the second half of the year that could result in higher volatility,’ said Iain Power, CIO and portfolio manager at Truffle Asset Management during a recent panel discussion hosted by Asset TV.