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

Future of Investment Festival: Our specialist sessions for advisers

Future of Investment Festival: Our specialist sessions for advisers

Future-proofing advice, building sustainable portfolios, all things SDR

Professional Adviser
clock 19 April 2024 • 2 min read
Why non-transparent managers are behind most failed acquisitions

Why non-transparent managers are behind most failed acquisitions

‘They don’t understand the importance of culture and cohesion’

Rami Cassis
clock 12 April 2024 • 3 min read
Partner Insight: Understanding the investment universe

Partner Insight: Understanding the investment universe

Invesco
clock 12 April 2024 • 6 min read