In the past few days the markets have had a steep downturn taking many investors by surprise with their downward momentum. Some stocks are claimed to have already entered the bear market while there is an alleged expectation that markets might not have seen their worst performance yet.
So, what is an investor to do when the markets change that abruptly? The only answer is to be prepared and to take timely action to rebalance their portfolio minimizing drawdowns.
The general consensus would be that this is easier said than done with most funds’ performance expected to drop significantly as it usually happens in a turbulent market environment.
If you are looking for answers on how to re-balance your portfolio in highly volatile market conditions MarketsFlow (link to managed portfolio) provides the solution.
MarketsFLow’s intelligent AI powered platform was born out of the quest to have an optimal performing investment portfolio no matter what the market conditions are. The platform uses immense computing power to analyse and synthesise large datasets for stocks that are suitable for optimal portfolio performance, resulting in daily curated buy or sell signals.
By following a disciplined and systematic buy and sell actions daily on the platform, the result is a balanced and optimized portfolio that will minimise risk and may even provide yields in the toughest of market environments.
The most impressive attribute of the MarketsFlow platform is that it will allow you to be prepared for shifts in the markets by only selecting the most relevant and reliable stocks as determined by the individual investor’s suitability assessment.
Adam Tyrrell CFA, MarketsFlow’s Portfolio Manager, provides a better insight into how the MarketsFlow AI powered intelligent investment platform works in a more negative market environment:
“When the broader market environment turns more negative, or simply becomes more volatile without necessarily turning into a bear market, we have the tools to guide us into taking less market exposure as well as altering the types of exposure we take.
“Not only do the signals at the individual stock level continue to be generated, but we also see indicators that guide whether less of our overall exposure should be taken through direct holdings in underlying stocks, and more of it taken through options positions. The intention is always the same, to be more exposed in a market that is rising and to be less exposed in a market that is falling.
“Right now, when much debate is focused on whether we are about to see a bull markets turn into a bear market, we are content to be agnostic. Perhaps the bull run is over, perhaps it isn’t; whatever the state of markets in the months to come, we have the tools to deliver risk-controlled performance.”
If you have questions regarding on how to optimize your portfolio and balance it for any market conditions keeping your investments safe, give us a call to discuss or write us your questions.