|The level of volatility in the equity markets over the past ten days has been significant. The uncertainty of the overall impact of the coronavirus weighs heavily on the minds of investors. We have read a number of unhelpful messages from other firms that fall into several categories. Some have boldly predicted this will blow over and the markets should bounce right back. Some have predicted the worst. Many have tried to have it both ways, saying it could be very bad, or maybe no big deal and were so equivocal that it was hard to tell if they even had an opinion. And we’ve read the conspiracy theories about COVID-19 that seem designed to provoke fear.
Here Are Some Facts
This Market Dynamic Will Impart Different Effects Based on Investor Situation
BIP Wealth has access to portfolio strategies that other firms do not. Our Hedged Equity, Hedged Yield, Concentrated Stock, Private Equity (and venture capital), and Private Debt allocations offer additional tools to help investors get through volatile times. For years we have focused on developing risk mitigation strategies that might not be apparent when the market is going up. We are confident in our approach.
If you are interested in learning more about BIP Wealth’s many solutions to deal with market volatility, please email us at email@example.com or give us a call at 404.495.5230.
The Global Equity index is the MSCI ACWI IMI Index, which is a free float-adjusted market capitalization weighted global index selected as the best available proxy for a diversified stock portfolio consistent with modern portfolio theory. Approximately 55% of the index is comprised of the U.S. stock market and 45% is comprised of international stock markets, including both developed and emerging countries. The “Net Total Return” version of the index is reported here, which means the index reinvests dividends after the deduction of withholding taxes, using a tax rate applicable to non-resident institutional investors who do not benefit from double taxation treaties.