In times of market turbulence, trend-following strategies can offer valuable diversification for investment portfolios. Winton’s latest article delves into how these strategies perform during major equity drawdowns and the challenges faced by Commodity Trading Advisors (CTAs) in providing “crisis alpha.” The piece suggests the benefits of maintaining a strategic allocation to trend-following CTAs, showcasing their low correlation to traditional assets and their historical performance during crises.
However, it’s important to remember that past performance is not indicative of future results, and different strategy implementations may yield varied outcomes. As always, consider seeking professional financial advice tailored to your individual circumstances before making investment decisions.
General advice warning: The information provided is general in nature and does not take into account your personal financial situation or needs. Please consult with a financial advisor for personalized advice.
The full article can be read here:
Winton Trend following in crises