Equities: Understanding market volatility, part 1

18/01/2019

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In the first of two videos, George Maris, Co-Head of Equities - Americas, discusses the fundamental reasons for the return of market volatility and the potential opportunities created for bottom-up investors.

Key takeaways:

  • Although volatility has surged in recent months, current market swings are in line with long-term averages for equity markets.
  • Helping drive the ups and downs are fundamental factors, including worries over trade wars, a risk-averse investor base and the end of quantitative easing in the US and Europe.
  • Valuations have compressed across markets making it possible to find high-quality companies - whose multiples only a few months ago may have been at lofty heights - trading at attractive valuations.

Past performance is not a guide to future performance. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.

The information in this article does not qualify as an investment recommendation.

For promotional purposes.

Anything non-factual in nature is an opinion of the author(s), and opinions are meant as an illustration of broader themes, are not an indication of trading intent, and are subject to change at any time due to changes in market or economic conditions. It is not intended to indicate or imply that any illustration/example mentioned is now or was ever held in any portfolio. No forecasts can be guaranteed and there is no guarantee that the information supplied is complete or timely, nor are there any warranties with regard to the results obtained from its us.

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