![Q4 2019 Market Outlook](https://www.xponance.com/wp-content/uploads/2019/07/Market-Outlooks-Feature10.jpg)
Q4 2019 Market Outlook
In the third quarter, both of the leading anglo-liberal democracies lurched towards the political abyss and even potential constitutional crises, while global growth continued to decelerate on the back of trade policy …
![Battening Down the Hatches Part Three](https://www.xponance.com/wp-content/uploads/2019/10/Market-Insights-Alert20.jpg)
Battening Down the Hatches Part Three
View PDF version Battening Down The Hatches Part Three Part 3: Evaluating Rebalancing Techniques for Portfolio DeriskingIn this, the third of a three-part series “Battening Down the Hatches”, we evaluate portfolio derisking techniques that most cost effectively...![Long duration equity strategies (growth, technology, certain private equity LBO strategies) appear vulnerable….](https://www.xponance.com/wp-content/uploads/2019/10/Market-Insights-Alert19.jpg)
Long duration equity strategies (growth, technology, certain private equity LBO strategies) appear vulnerable….
It is difficult to build a case that equity markets won’t contract in a slow-down. Since 1950, whenever CAPE valuations were above 20 and industrial production declined in the previous 12 months, the 12-month return of the stock market was -10.4%, with only 34% of periods having positive returns.
![Some bond strategies may not live up to their downside protection billing the next time….](https://www.xponance.com/wp-content/uploads/2019/10/Market-Insights-Alert18.jpg)
Some bond strategies may not live up to their downside protection billing the next time….
Interest income is attributable for all or most of bonds’ downside protection; therefore starting yields are critical. Bonds have traditionally been an important component of any portfolio derisking strategy but interest income has been a significantly larger piece of the return pie during economic downturns; whilst spread compression has been less significant.