Mon, Sep 25, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Risk easing continued in the fourth quarter, trend likely to continue - Axioma

Tuesday, February 05, 2013

amb
Melissa Brown
Bailey McCann, Opalesque New York: Risk continued to decline in the fourth quarter of last year, a trend that is likely to continue according to the most recent quarterly risk report issued by Axioma. Possibly explaining the rush into global equities by institutional investors to begin 2013, Axioma found that following a precipitous drop in risk and volatility in 3Q12, risk continued to decline in 4Q12. Heading into 2013, predicted risk has hit a near 5-year low.

Notably, the data shows a continued decrease in risk for European benchmarks, with medium-horizon risk for the Euro Crisis countries (Greece, Spain, Italy, Portugal and Ireland) falling nine percentage points. Medium-horizon risk for the Russell 1000 and Russell 2000 also dropped in the fourth quarter. Forecast risk for large-cap US stocks was on par with that of the FTSE Emerging index, in sharp contrast with the fourth quarter of 2011 when the Russell 1000 was well below the Emerging index. Short- and medium-horizon forecasts also fell substantially for the FTSE Asia-Pacific ex-Japan.

"We are cautiously optimistic about the current environment," said Melissa Brown, Senior Director, Applied Research and co-author of the Quarterly Risk Review. "While risk is much closer to all-time lows than historical peaks, we can reference instances where risk has held steady at current levels for periods lasting years.&......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. iCapital Network enters deal to acquire innovative U.S. private equity access fund platform from Deutsche Bank[more]

    Komfie Manalo, Opalesque Asia: Financial technology platform iCapital Network has entered into a definitive purchase agreement to acquire the US Private Equi

  2. Asia - Hedge funds used to love shorting China. Now, not so much, Fledgling China FoFs require careful use: NCSSF, Amac, Japanese banks turn to PE, hedge funds for returns[more]

    Hedge funds used to love shorting China. Now, not so much From Bloomberg.com: A sharp devaluation. A credit crisis. And an economic hard landing. That's what some of the biggest names in the hedge fund industry were predicting for China after the nation's stocks and currency tumbled in 2

  3. Launches - Orchard launches new credit platform, ETN based on hedge fund to launch on the LSE[more]

    Orchard launches new credit platform Orchard Platform has rolled out Deals as a part of its new platform launch. With the addition of Deals to their suite of technology solutions for loan originators and institutional investors, Orchard Platform takes the next step in their evolution. De

  4. Neuberger Berman closes $1.1bn Credit Opportunities Fund[more]

    Neuberger Berman, a private, independent, employee-owned investment manager, announced that NB Private Equity Credit Opportunities Fund LP closed on $1.1 billion of limited partner commitments. The Fund seeks to invest in the secured and unsecured debt of private equity-backed companies, primarily i

  5. Capital Dynamics launches mid-market private credit business[more]

    Capital Dynamics, a global private asset manager, has launched a dedicated Private Credit Asset Management business. Experienced industry executives Jens Ernberg and Thomas Hall have joined Capital Dynamics to co-lead the company's new private credit initiative. They are based in Capital Dynamics' N