Corona draws out the tide and reveals skimpy swimwear as funds proved less safe than their names suggested

The corona crash has revealed safe funds that are not safe, quant-strategies breaking down, hedge funds that are not hedged and all-weather products in desperate need of umbrellas. Once again, it has been revealed that we in the finance industry know a lot less about how the world is turning and where markets are going in the short term than we like clients to think - and that some product names are totally misleading.
Photo: PR
Photo: PR

March 2020 was one of the cruelest months ever for global financial markets and not least asset managers trying to navigate the extremely volatile markets. Many were maybe not swimming entirely naked, but when the tide went up last month, a lot of portfolio managers got their clothes ripped off.

Already a subscriber?Log in here

Read the whole article

Get access for 14 days for free. No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

With your free trial you get:

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
Must contain at least 6 characters
Must contain at least 2 characters
Must contain at least 2 characters

Get full access for you and your coworkers

Start a free company trial today

Sign up for our newsletter

Stay ahead of development by receiving our newsletter on the latest sector knowledge.

Newsletter terms

Front page now

Further reading

The environmental, social and governance ratings of exchange-traded funds are set to be downgraded by index provider MSCI. | Foto: Delcia Lopez/AP/Ritzau Scanpix

Hundreds of funds set to lose ESG rating