The September edition of FE Trustnet Magazine, out now, focuses on volatility. While in theory it is easy to dismiss this as a natural feature of stock markets, it is driven as much by human emotion as fundamentals and even the most level-headed investor may find it hard to act objectively when their portfolio falls by 40 per cent. Anthony Luzio asks whether long-term investors should throw caution to the wind and stick all their money in equities, or keep half an eye on the downside, just in case. Staying on this subject, Cherry Reynard assesses whether traditional portfolio-protection strategies are of any use in the current environment, while Ellie Duncan attempts to find out what constitutes a “normal” level of volatility.
This month’s sector focus falls on emerging market debt – this is one of the few areas of the bond market that still offers decent yields to investors, but Adam Lewis warns that these come at a price.
In the magazine’s regular columns, Miton Global Opportunities’ Nick Greenwood and Charlotte Cuthbertson back a private equity trust that has evolved from “corporate bad boy to a more professional operation”, BB Healthcare Trust’s Paul Major names three healthcare stocks that are benefiting from long-term demographics and John Blowers reveals how to work out the age at which you can afford to retire.
As always, FE Trustnet Magazine is completely free. You do not even have to enter any details – simply click here to start reading or here to download the PDF.