archiveLong Read

Everyone knows that markets hate uncertainty. Proof that this well-worn investment cliché has real substance can be seen in the way markets responded to a series of unforeseen events during the past decade. In 2016 there was the Brexit referendum, followed by the Covid-19 pandemic four years later, which led to protracted lockdowns. More recently, Russia invaded Ukraine, the Gaza-Israel conflict erupted and the US air force targeted Iran’s nuclear facilities with bunker-busting bombs, swiftly followed by US President Donald Trump’s upbeat social media announcement of a phased ceasefire between Israel...

The world of alternative investments is evolving fast. With global allocations to alternatives expected to rise by 22 per cent in the next two years, according to EY’s 2024 Global Alternative Funds survey, they have become an important component of portfolios. Alongside this shift, the approach to managing risks is also changing. Emerging technologies are reshaping how threats are addressed, but the ongoing global uncertainty introduces new challenges. What alternatives mean for risk management Before diving into tools for risk management, it is worth asking: What defines alternative investments from a risk...