Thursday , 25 July 2024

Will There Be Anywhere to Hide When the Markets Start Tanking?

According to a new study from the IMF, correlations in general are much more elevated these days than they were before the financial crisis. In other words, there are fewer places to hide in the markets when the markets start tanking. Check out their Global Financial Stability Report that’s been described as “not for the faint-hearted.” and the red bars in the chart below.

Related Articles from the Vault:

1. Risk Averse? Here’s a Better Strategy Than Having Just Cash

Many investors with little appetite for risk think cash is the safest asset class but there’s a much better way to control risk than keeping all your money in cash or bonds: diversifying through a modest addition of stock to the mix. How much should be in stocks? Read on! Read More »

2. What Could Possibly Be A Better Safe Haven Than Gold? Read On

Some market commentators are touting gold as a great portfolio diversifier, convincing investors that the precious metal could benefit their portfolio but there may be better alternatives than gold if the motivation is to find a hedge for economic uncertainty or political unrest. Read More »

3. Where Should Your Money Be In This “No Safe Haven Era”?

How have the traditional safe havens performed since the great financial crash of 2008/2009? What can we expect from the traditional safe havens going forward? Those are the two questions we try to answer in this article. Read More »