Windham on Risk
The rules have changed.
So should your perspective on risk.
Investing in the wake of the 2008 credit crisis and financial market meltdown is a whole new proposition. Expectations for sustained slow economic growth and continued market volatility signal a time to proactively manage risk rather than merely react to it. Now, perhaps more than in the past, risk and return are joined in a way that changes the rules of investing.
Through our proprietary Windham Investment Risk Cycle™, we determine when markets are calm, fragile or turbulent, thus enabling us to gauge opportunities across a wide variety of asset classes. Time-tested and highly analytical, the Windham Investment Risk Cycle™ focuses on how risk evolves – not simply when it occurs. That allows us to measure risk, pinpoint changes and manage it to maximize returns.
- We identify periods of market turbulence, when asset prices move abnormally,
particularly relative to one another. - We measure systemic risk – the potential for a major downturn when markets
begin to move more in concert with each other. - We filter out the noise – short-term market disruptions – and focus on the
signals indicating the potential for widespread selling.
Click here for the full article with insights from Windham on how we measure, manage and exploit the relationship between risk and return to position our clients’ portfolios.
