Shift to positive stock-bond correlation could increase risk, reduce returns

Dr Noah Weisberger, managing director in PGIM Institutional Advisory and Solutions (IAS) group and Amanda White, director of institutional content at Conexus Financial talk returns in a volatile market.

A shift towards positive correlation between stocks and bonds is likely, and this phenomenon could persist for many years if history is a guide and this could lead to a “much more volatile world” for those trying to maintain balanced portfolios and may force investors to either raise their risk budgets or lower their return expectations, according to Dr Noah Weisberger, managing director at PGIM IAS group.

Leave a Comment

Pension Policy Series Podcast: Surveying the state of the retirement market

For more than three decades, the superannuation system has served members well as they accumulate savings during their working lives. Now funds are grappling with the task of helping members make the best possible decisions to ensure their income lasts long enough so that they can enjoy a dignified retirement. Join editor of Retirement Magazine, Simon

Sort content by