Author: NN Investment Partners
With the return to school, volatility returned to markets. Some perspective is justified, as volatility is still at its average level of the past five years. The rise in volatility has its roots in the bond market, where yields ignore any risk of a less accommodative shift in policy.
One of the most well-known adages in the world of investing is “Sell in May and go away, but remember to come back in September”.
Those who followed this advice will probably regret it, as September so far is turning out to be a quite volatile month, while the preceding months were actually far from bad from a return point of view.