A Volatility Comeback May Not Bring the Catastrophe Investors Fear
- A jump in volatility doesn’t have to lead to losses: Goldman
- Eight times out of 10 exiting a low-vol period shows gains
Key Drivers of the Rally in Global Equities
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Low volatility is spurring hand-wringing from Nobel prize winners to central bankers, but a change in the status quo might not be all that bad.
With price swings across asset classes near historic lows for most of the year, it seems there’s nowhere for volatility to go but up, according to strategists at Goldman Sachs Asset Management. That doesn’t necessarily mean equity prices will go down, they say in a report.