15/05: Are You Managing Portfolio Risks?
Recent days have seen a return of stock market volatility. In the background commodities are tracing the final throes of a bubble -hyperbolic rise followed by a crash - that will play out in the coming days and weeks. Likewise the dollar has begun to decline again after months of recovery from the sharp decline of 2004.
Is this the beginning of a new down market or simply a pause in the bounce from the lows of 2002? Is it a resumption of the 2000-2003 bear market. We know not. it is unkowable.
We do know that in these uncertain times diversification is more important than ever.
Portfolios with only traditional exposure to US stocks and bonds may not be faring well in this time of emerging volatility.
Diversification beyond the norm may allow for better returns with less risk.
Are you prepared for what may come?
If not, why not?
OSF
May 15, 2006
Is this the beginning of a new down market or simply a pause in the bounce from the lows of 2002? Is it a resumption of the 2000-2003 bear market. We know not. it is unkowable.
We do know that in these uncertain times diversification is more important than ever.
Portfolios with only traditional exposure to US stocks and bonds may not be faring well in this time of emerging volatility.
Diversification beyond the norm may allow for better returns with less risk.
Are you prepared for what may come?
If not, why not?
OSF
May 15, 2006
