[Webinar]New Access Lives #2 - PMS: Readiness & Efficiency in times of strong volatility

Date of the Event: March, 10th. 2021

Duration: 45 minutes

Readiness & Efficiency in times of strong volatility:

During the last two decades and especially since the 2008 crisis, we have seen that the market volatility has changed its pattern. It went from a U shape curve to having cycles within that curve. COVID-19 in 2020 increased this new trend and has strengthened its impact. It has had a huge influence on the way Asset Managers but also Private Banks manage their assets.

There are two ways to see this new normal. First, as Gerald Moser (1) said in a recent article, volatility can be used to boost portfolio return since, in a 3 to 6 months window, markets are up 8 times out of 10. But you can also be more conservative and adopt a “wait and see” approach which seems to be the case for most portfolio managers especially since the VIX went way above 30 points in March 2020. But whichever position you choose to adopt, there are some things in common between these two approaches. To make the good decisions for your investments and your clients, you need to:

  • Precisely monitor your portfolio and its associated risk

  • Be quick if there is a need to change the allocation when the correlation hits the portfolio

  • Doing so while being sure that you are compliant with the regulation and what your clients require

Therefore, having the right system is paramount in today’s market. In this webinar, we will try to present you the key features a Portfolio Management System (PMS) needs to provide, to support you through your investment decisions in an ever changing context.