Darius McDermott: Make volatility work for you

Short-term noise or something sinister?

clock • 4 min read

Volatility is healthy and a sign that markets are normalising, argues Darius McDermott, before considering how advisers and their clients can make the return of volatility work for them

Up until a couple of months ago, an eerie sense of calm had settled across markets. The VIX  index - one of the most commonly-used gauges of market fear - continued to fall to new all-time lows during the second half of last year. In January, it came within touching point of reaching yet another record low. Of course, nothing lasts forever - especially not when it comes to markets - and, in February, volatility suddenly spiked as equities sold off across the globe. According to FE Analytics, over the first three months of the year, the VIX was up by a substantial two-thirds. This is p...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Why investors need to think about emerging markets a little differently

Why investors need to think about emerging markets a little differently

'Emerging markets are starting to look eerily similar to developed'

James Flintoft
clock 29 October 2025 • 3 min read
Watch PA's Working Lunch with Baillie Gifford: Acting your age – when growing up pays off

Watch PA's Working Lunch with Baillie Gifford: Acting your age – when growing up pays off

Catch up on the discussion

Professional Adviser
clock 29 October 2025 • 1 min read
Direct engagement and the search for hidden gems

Direct engagement and the search for hidden gems

'What really matters is that investors do not find themselves behind the eight ball'

Gabriel Sacks
clock 27 October 2025 • 4 min read