Is it time to add downside protection to portfolios?

clock • 2 min read

This year has seen the return of market volatility, with the CBOE Volatility Index (VIX, the 'Fear Index') having averaged 16 for the year so far.

While this is still slightly below its historical average of 19, it represents a far healthier reading than last year's abnormally subdued levels of 11.  The drivers of this resurgence in volatility can be attributed to several factors, including increased US protectionism, an accelerated rate of Federal Reserve tightening, and resurgent geopolitical tensions in the Middle East and Korean peninsula.  WisdomTree makes first appointment since ETF Securities acquisition All of these threaten to derail global economic growth, hence why risk assets such as equities and commodities have ...

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