The best-placed alternatives to offer defensive returns

The speed and scale of the market decline has been the defining feature of this market downturn, although this has been matched in unprecedented rapidity of response by both central banks and governments.

These moves have changed the investment landscape significantly and provide an excellent opportunity for active managers to significantly outperform as we navigate the coming months. Given the changes in market dynamics, repositioning of key exposures will be critical. Investors have been left with very few options to protect against future volatility. With global interest rates again at rock bottom, the traditional bond market will not offer much defence if the crisis lasts longer than is currently expected and we enter a more prolonged downturn. Why now is the time to increase ex...