While equity markets have shown some recovery, the instability in the global macroeconomic environment persists and prospects for a soft landing are fading. At the same time, equity valuations do not appear to fully reflect the challenges and uncertainty facing businesses and consumers.
In this month’s Long Read, we take a closer look at a ‘minimum volatility’ (MV) equity strategy – designed to avoid high volatility stocks which are strongly correlated to market returns. In the right conditions, these strategies have the potential to provide material upside as equity markets rise, but offer valuable protection in times of stress.
Read the May Portfolio Perspectives here.
