Fri, Apr 28, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Now is a good time to buy protection cheaply in the options market

Thursday, July 24, 2014

amb
Patrick Rudden
Benedicte Gravrand, Opalesque Geneva:

Investors are showing an increased interest in risk parity funds and strategies, Opalesque reported last year. Risk parity strategies have their roots in some of the biggest funds out there including Bridgewater.

"Risk parity has been around for a long time and it’s a simple idea," says Patrick Rudden.

Rudden is co-manager of the Dynamic Diversified Portfolio and International Head of Multi-Asset Solutions at AllianceBernstein, a global investment management company. He has published numerous articles and research papers about value investing, asset allocation and risk management. He shares his research findings and his investment outlook with Sona Blessing in a recent Opalesque Radio interview.

The idea of risk parity, he continues, is that if you put half your money in equities, the other half in bonds, you might think you are balanced. But equities are much riskier than bonds. Risk parity tries to have a more balanced exposure in the risk space. In order to do that, one can leverage up the bonds to get to a similar risk level to equities, and lever down more volatile assets. The aim is to have a balanced exposure to growth assets......................

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. Opalesque Exclusive: Ex-Man manager combines sustainable investing with AI/ML[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Dr. Richard Bateson, quant fund manager and physicist, has recently

  2. Hedge funds holding Puerto Rico bonds are looking at a long battle[more]

    Komfie Manalo, Opalesque Asia: Hedge funds which bought Puerto Rico's distressed debt bonds are facing the prospect of a long road ahead to recover their investments as the Caribbean island is attempting to use a U.S. Congress-approved rule that allows it to exploit a bankruptcy-like proceedings

  3. Other Voices: "Winner-take-all" dynamics and hedge fund investing[more]

    A growing stream of thinking in microeconomics is the concept of "winner-take-all" dynamics. The idea seems simple. A combination of networking economics and classic economies of scale creates situations where there are just a few dominant firms or economic agents who are able to capture significant

  4. Investing - How Chipotle's comeback attracted big data robots and value investors alike[more]

    From Forbes.com: When William Ackman's ailing hedge fund Pershing Square Capital Management bet $1 billion on shares in Chipotle Mexican Grill beginning in July 2016, the stakes couldn't have been higher. Pershing Square was reeling from what would eventually be a near $4 billion loss in drugmaker V

  5. Service Providers - Colemore launches fee tracking service for limited partners[more]

    Following Colmore's successful launch in January 2017, the firm has announced the launch of FAIR.. FAIR is designed to help private equity investors independently validate fees and incentives charged by underlying managers, saving time and providing an extra level of comfort. There is a glob