Markets have been roiled in recent weeks as fears grew that efforts to contain the coronavirus, including telling people to stay at home, could precipitate a global recession.
Just one of the world’s biggest multi-strategy funds available to retail investors is in the black for the year after coronavirus panic saw markets fall across the board, data from Morningstar showed.
Multi-strategy funds vary in remit but generally have a much wider range of assets to choose from when investing, something that in theory is meant to allow them to weather a downturn.
Markets have been roiled in recent weeks as fears grew that efforts to contain the coronavirus, including telling people to stay at home, could precipitate a global recession.
Despite an injection of trillions of dollars of monetary and fiscal stimulus into the global economy by central banks and governments worldwide, volatility remains high and demand weak.
Performance data from the world’s ten-biggest funds reported to analysis firm Morningstar - nine to March 23 and one to Feb. 29 - shows more conservative funds generally weathering the storm better than those that sought to take on more risk.
Market stresses to hurt funds included the blow-out in merger-arbitrage spreads, a seizing up of credit market liquidity and those betting on depressed market volatility, said Morningstar Senior Manager Research Analyst Francesco Paganelli.
For funds with a freer remit to roam across markets, pockets of safety could be found to help stem losses, including betting on falling stock prices, he added.
The Insight Partners is a one stop industry research provider of actionable intelligence. We help our clients in getting solutions to their research requirements through our syndicated and consulting research services. We specialize in industries such as Semiconductor and Electronics, Aerospace and Defense, Automotive and Transportation, Biotechnology, Healthcare IT, Manufacturing and Construction, Medical Device, Technology, Media and Telecommunications, Chemicals and Materials.
Severity: Warning
Message: count(): Parameter must be an array or an object that implements Countable
Filename: amp/news_details_amp.php
Line Number: 252
Backtrace:
File: /home/smartmarketnews/public_html/application/views/amp/news_details_amp.php
Line: 252
Function: _error_handler
File: /home/smartmarketnews/public_html/application/controllers/Amp_controller.php
Line: 41
Function: view
File: /home/smartmarketnews/public_html/index.php
Line: 315
Function: require_once
Smarter Decisions with Smart News
Smart Market News is committed to getting its readers the latest updates and insights on industries that help in making “smarter” business decisions. With insights and inputs from corporate decision makers, we bring you the stories of adopting innovative solutions and strategies that have been changing the world. Our editorial insights on products, solutions, companies, and adoption of best practices not only help in understanding the markets better, but also prove to be a complete package for your information needs.
media@smartmarketnews.com | sales@smartmarketnews.com
Contact Us