With a balanced perspective, investors can intelligently participate in a dynamic absolute return landscape

Deep Dive into absolute return

Interest in absolute return strategies is often driven by performance of traditional markets.

During times when simply buying and holding stocks and bonds is profitable, there is less incentive for investors to explore other investment strategies. The Covid-inspired market panic obliterated complacency with traditional investments and with the addition of government responses inspired renewed interest in absolute return strategies. Fiscal and monetary stimuli support market liquidity and sentiment, underpinning absolute return strategies that often use leverage and illiquid securities. Similarly, post-Covid government stimulus accelerated economic activity, improving corporate...