The idea that investors need to protect themselves against market volatility is outdated. By understanding the nature of volatility and its impact, investors could benefit from sustained portfolio diversification. However, to do so they would need first to bust the myths about market volatility.

According to Triple3 Partners’ chief investment officer, Simon Ho these myths included the following assumptions:

  • The market had been volatile in recent years
  • Volatility was bad for investor portfolio
  • High volatility would equal negative returns
  • Volatility was a good reason to say out of the market
  • Volatile markets would mean a bubble would be forming

Ho also stressed that one of the most persistent volatility myths of recent times was that markets had been volatile and investors should be cautious.

To read the article, click here.

GSFM

GSFM focuses on creating strong alliances with high calibre investment managers, in Australia and overseas, which offer quality investment strategies not available to Australian retail and institutional investors. Today, our portfolio spans global, Australian and Asian equities, fixed income and private credit, as well as alternative strategies.

Information provided is general information and is for educational purposes only, and does not include, or constitute as, financial product advice.